DUSHANBE, May 19, 2015, Asia-Plus – Jamshed Nourmahmadzoda, the head of the National Bank of Tajikistan (NBT), yesterday met here with a delegation of the China Development Bank (CDB), led by CDB Assistant Governor Zhao Xiaoyu.
The NBT press center reports the two sides discussed opportunities of establishment of bilateral mutually beneficial cooperation between Tajik central bank and the CDB as well as attraction of Chinese long-term investments.
In the course of the talks, Nourmahmadzoda briefed Chinese guests on the current state of Tajikistan’s macroeconomics and achievements of the country’s banking system.
The Tajik authorities are currently taking specific measures to strengthen the country’s banking system, Tajik central bank head said, noting that aggregate capital of the country’s lending institutions had substantially increased.
According to him, all necessary measures are being taken to promote development of the secondary security market in the country.
Nourmahmadzoda stressed that the NBT had needs in a long-term loan from the China Development Bank to support small and medium-sized enterprises (SMEs) in the country and the country’s balance of payments.
The China Development Bank (CDB) is a financial institution in the People”s Republic of China (PRC) led by a cabinet minister level Governor, under the direct jurisdiction of the State Council. As one of three policy banks of the PRC, it is primarily responsible for raising funding for large infrastructure projects, including most of the funding for the Three Gorges Dam and Shanghai Pudong International Airport.
Established by the Policy Banks Law of 1994, the bank is described as the engine that powers the national government’s economic development policies.
Debts issued by CDB owned by local banks are treated as risk free assets under the proposed People”s Republic of China capital adequacy rules i.e. same treatment as PRC government bonds. The bank is the second-biggest bond issuer in China after the Ministry of Finance in 2009, accounting for about a quarter of the country’s yuan bonds, and the biggest foreign-currency lender.
CDB now has 35 branches and one representative office across the country. The bank provides financing for national projects such as infrastructure, basic industries, energy and transportation.
