ECO-IEST President, Alternative Member to the IPBES Bureau

Financial
Industry
ECOTD Bank's Task
in SMEs Development
The 12th Summit Meeting of the ECO (Baku, October16,
2012) acknowledged the significant role of the private sector
as an engine of growth and economic development in the
ECO region. Furthermore, it appreciated the role played by
the ECO Trade and Development Bank and urged the
strengthening of its financial capacity to meet the growing
demand for economic exchange and expansion of Bank's
activities in the region.
To eradicate poverty in ECO countries, the expansion of the
private sector, notably micro-, small and medium-sized enterprises
(SMEs) is an influential factor for economic growth and
job creation. However, one of the main challenges for governments
in ECO countries is to design institutional, organizational
and regulatory frameworks which are conducive to private
sector development. But, governments alone cannot create
a private sector with an enterprise culture.
ECO Bank works to increase access of SMEs to financial
services in ECO Bank Member Countries by providing funding
to banks and monetary institutions focusing on SME
financing.
SME Development Loan
SME Development Loan is developed to encourage intermediary
banks and leasing companies to expand and
strengthen their financing of SME operations in the Member
States to support small and medium-size enterprises (SMEs) in
line with the vision and the mission of the ECO Trade and
Development Bank.
SME Development Loan can be utilized for the purpose of
Export Financing (No destination limitation), Import Financing
(From ECO Member States) and Working Capital needs of
the small and medium sized companies as defined below.
The Role of ETD Bank:
The ECO Trade and Development Bank in pursuance of
ECO Summits directives has been active in assisting its ECO
Member countries in their economic activities and helping
beneficiary governments to structure programs in support of
private sector development, with a particular focus on SMEs.
The Bank's activities also cover a wide range of areas such
as support in creating an enabling business environment.
Undoubtedly, a better business climate encourages efficient
domestic investment, attracts foreign direct investment and
increases productivity. Thus, providing needed ground for
enhancing income and employment opportunities.
ECO Member States' major employment and income distribution
challenges require special attention and plans for
SMEs which are important to almost all economies in the
world.
SMEs Development
One of ECO Bank's priorities is to support small and medium-sized
enterprises (SMEs), which are critical for the economic
and social development in the ECO Region. They play
a major role in creating jobs and generating income for low
income people.
Client Category Small Sized Medium Sized
Headcount 10-49 50-249
Annual Turnover