The Export Credit Agency of Kazakhstan held a series of meetings with leading banks of the South Caucasus
A delegation from JSC Export Credit Agency of Kazakhstan (ECA), headed by Deputy Chairman of the Management Board Aibol Balkin, undertook a business mission to the South Caucasus, visiting Azerbaijan and Georgia.
During the visit, the delegation met with representatives of the region's largest financial institutions, including Kapital Bank, Pasha Bank, Bank of Baku, Xalq Bank, Respublika Bank, and OJSC Azerbaijan Industrial Bank in Azerbaijan, as well as TBC Bank, Bank of Georgia, Liberty Bank, and Isbank in Georgia.
As part of the meetings with bank representatives, the prospects for organizing trade finance with the support of the Export Credit Agency of Kazakhstan were discussed. The proposed mechanism involves the use of a letter of credit from the importer’s bank, with financing provided upon the submission of shipping documents by exporters to Kazakhstani banks.
The implementation of this instrument helps strengthen trust between trade partners, increase trade volumes, and enhance financial ties between countries. This trade finance mechanism offers several advantages for all parties involved:
For importer banks:
• Opportunity for active collaboration with Kazakhstani banks.
• Expansion of banking operations in the Kazakhstani market.
• Risk minimization in international trade transactions.
For Kazakhstani exporters:
• Reduction of non-payment risks – guaranteed timely payment upon shipment of goods.
• Expansion of client base – access to new trade partners.
• Access to international markets – improved export conditions and strengthened global positioning.
For importers:
• Ensurance of timely delivery of purchased products.
• Favorable financing terms – flexible payment conditions and access to trade finance.
• Expansion of the partnership network in Kazakhstan – development of strong business relationships.
Additionally, the ECA’s capabilities in providing guarantees, covering payment deferrals under export contracts, and ensuring advance payments from buyers were discussed. These instruments can be valuable in structuring transactions with bank clients, offering reliable risk management mechanisms and improving access to financing.
