The EBRD is extending a €7.5mn guarantee facility to support consumer-goods giant Nestl é SA’s access to local currency finance in <
- xml:namespace prefix = st1 />Uzbekistan. The deal will not only provide a boost to Uzbek banks which will increase their lending to Nestlé but also to Uzbek dairy farmers, whose milk will be used to produce drinking milk, milk powder and other products.
UzJilSberbank will be the first Uzbek commercial bank to receive a guarantee to lend to Nestlé Uzbekistan, which has operated in the country since 1999. Through the facility, the EBRD is working with Nestlé Uzbekistan develop its operations in a challenging business environment.
EBRD secretary-general Johnny Akerholm says the project is important in the agribusiness sector and that the bank hopes it will be the first of many in Uzbekistan both with international groups and with progressive local companies.
Swiss-based Nestlé SA which employs 255,000 people worldwide, operates product lines including beverages (coffee, bottled water and dairy beverages), food (confectionery, milk powder, pet food, frozen food and culinary) and pharmaceuticals.