Supp Fin Fac

completed

The project involves the establishment of a supplier finance credit facility (SFF) of approximately $15.0 million funded by IFC, BP (on behalf of Joint-Venturers) and Micro Finance Bank of Azerbaijan (the Bank, or MFBA) (collectively the "partners" and each a "partner") to provide financing to small and medium sized contractors to BP and its affiliates in Azerbaijan. The project aims to help BP and its venturers increase local content by expanding the participation of local Azeri enterprises in the supply chain. IFC is expected to take up to 40% of the facility’s risk or $6.0 million. It is expected that BP and MFBA will take up the 40% and 20% respectively. The SFF will draw on lessons learned from a 2006 pilot phase that was funded through grants from the partners.