IFC Deepens Support for Ipoteka Bank OTP Group Through Equity Conversion

IFC Deepens Support for Ipoteka Bank OTP Group Through Equity Conversion

• IFC has converted its existing loan to Ipoteka Bank OTP Group into equity, deepening a partnership built through years of engagement and advisory support.
• The transaction advances IFC's commitment to Uzbekistan's privatization agenda, supporting a more competitive privately led banking sector.

Tashkent, Uzbekistan, June 17, 2026 - IFC, the private sector arm of the World Bank Group, today announced the conversion of its existing loan to equity in Ipoteka Bank OTP Group, further deepening its support for the development of Uzbekistan's banking sector.

This investment reflects a decade-long IFC partnership with Ipoteka Bank, initiated in 2016 at the Government of Uzbekistan's invitation to support the privatization of state-owned banks. Following an advisory services agreement signed in 2017, IFC helped strengthen the bank's corporate governance, strategy, and privatization readiness. In parallel, IFC extended a $35 million pre-privatization convertible loan, with conversion contingent on Ipoteka Bank OTP Group meeting agreed transformation milestones. Having successfully delivered on its transformation commitments, the bank has now completed the conversion of the loan into equity, marking a pivotal step in this long-term engagement.

The project advances IFC's strategic commitment to Uzbekistan's privatization agenda and its efforts to catalyze private investment in a banking sector historically dominated by state ownership, contributing to a more competitive, market-driven financial system.

Ipoteka Bank OTP Group is part of OTP Group, one of the five largest financial groups in Central and Eastern Europe. Through its support for key sectors including energy, industry, construction, transport, and telecommunications, Ipoteka Bank and OTP Group contribute to sustainable economic growth in Uzbekistan and help attract global capital to the country.

Adam Szentpeteri, Acting Chairman of the Management Board of Ipoteka Bank OTP Group, said: "For Ipoteka Bank OTP Group, this is an important milestone in our long-term partnership with IFC. Over the past years, the Bank has undergone a significant transformation: we have strengthened corporate governance, modernized our operations, improved the quality of customer service, and expanded our contribution to Uzbekistan's economic development. IFC has supported us at different stages of this journey - as an advisor, a financial partner, and now as an equity partner. We highly value this trust and look forward to further developing our cooperation for the benefit of our customers, businesses, and Uzbekistan's financial sector."

Momina Aijazuddin, IFC Regional Industry Director for the Financial Institutions Group, Middle East, Türkiye, and Central Asia, said, "Uzbekistan's banking sector is undergoing a remarkable transformation, and it is deeply rewarding to see a decade of IFC's efforts reflected in this equity conversion. A stronger, more competitive Ipoteka Bank OTP Group means greater access to finance for businesses across Uzbekistan, and with it, the potential to create jobs and expand economic opportunity. We look forward to deepening our partnership with the bank as it enters this next chapter in service of the people and businesses of Uzbekistan."

About Ipoteka Bank OTP Group

Ipoteka Bank OTP Group is a large universal financial institution with extensive experience in mortgage lending, housing finance, and trade finance. The Bank serves more than 3 million customers, manages assets of over $4.5 billion, and provides a wide range of banking services through a developed network of more than 90 branches and service points, ensuring broad geographic coverage across Uzbekistan.

For more information, visit: https://www.ipotekabank.uz

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