10th August 2022, Kathmandu
Sanima Bank has received USD 20 million in External Commercial Borrowing (ECB) from International Finance Corporation (IFC).
IFC is the private sector lending arm of the World Bank Group. Considering the liquidity crisis, Sanima Bank had made an agreement with IFC to bring ECB in the last financial year.
The bank received the fund after approval from the Nepal Rastra Bank in FY 2022/23. Sanima Bank has placed itself among the few banks which has received such foreign loans.
Bank has received the message from Mr. Babacar S. Faye, IFC’s Resident Representative in Nepal, “This investment in Sanima Bank aims to support the economic recovery in Nepal, by facilitating greater access to finance for SMEs.
Helping SMEs will notably enable them to grow and create more jobs” said Babacar S. Faye, IFC’s Resident Representative in Nepal. “At the same time, the cash injection will also contribute to easing Nepal’s liquidity crunch and declining forex reserves.
IFC greatly appreciates Sanima Bank’s strong commitment to developing the SME ecosystem in Nepal, and looks forward to building a long-term partnership.”
Mr. Nischal Raj Pandey, Chief Executive Officer of Sanima Bank, expressed his view that funds received from IFC will make it relatively easier to provide loans in MSME Sectors even in the current difficult situation of liquidity.
As per the agreement, this fund will be utilized to provide loans to Micro, Small and Medium-sized Enterprises (SMEs). The bank intends to contribute to the development of this sector while being guided by the principles of inclusivity and sustainability.
Sanima Bank is providing banking services from 127 offices and 120 ATM networks in all 7 provinces.
