1. Credit Implementing Agency LLC NBCO Baku, Azerbaijan @ 2013

2. Azerbaijan Territory 86.6 thousand km2 (12% forests, 1.7% water basin, 54.9% suitable land, including 31.1 % pastures and hayfields,31.4% other lands).Country 44° and52° east longitude,38° and 42° in north latitude, Baku at the 40° parallel. The distance from Baku to north pole is 5550 km, the distance till equator is 4440 km. The large lakes, km2 Sarisu - 67.0 Aghgol - 56.2 Aghzibirchala - 37.0 Mehman - 35.0 Boyukshor - 9.2 Hajigabul - 8.4 The largest lake in the world - Caspian Sea are - 400000 km2, depth-1025 m. The highest peak Bazarduzu - 4466 m. Neighbors State borders: From south- Iran 765 km, Turkey 15 km. from north – Russia 390 km. From north-west – Georgia 480 km. From west – Armenia 1007 km The length of the widest area of the Caspian Sea in Azerbaijani sector is 456 km. Large islands km2 Pirallahi - 14.4 Çilov - 11.5 Khara-Zira - 3.5 Boyuk-Zira - 1.4 The largest rivers km Kur - 1515 Araz - 1072 Alazan (Ganikh) - 413 İori (Gabırrı) - 389 Samur - 216 Tartar - 200

3. Azerbaijan Industry Oil and gas industry Chemistry and oil-chemistry construction materials industry etc. Agriculture Husbandry Cattle-breeding Poultry Fishing etc.

4. A Brief History of Credit Implementing Agency LLC NBCO Credit Implementing Agency (CIA) is organized in Azerbaijan in order to perform the component of Financing of Rural Lands of the Project Agriculture Development and Crediting by the G&G Consulting company of the Republic of Turkey in May, 2002. CIA has been registered in the Ministry of Justice of the Republic of Azerbaijan in September 9, 2002 and received license from the National Bank of the Republic of Azerbaijan in October 25, 2002. The founder of CIA was Azerbaijan Credit Unions Association Public Union from the date of August 03, 2005 after termination of the contract concluded between G&G Consulting company and the Government of Azerbaijan and CIA was re-registered at the Ministry of Justice of the Republic of Azerbaijan in September 22, 2005. From the date of February 15, 2013, the foundation of Credit Implementing Agency consists of 1 Public Union (Azerbaijan Credit unions Association), 11 leading Credit Unions and 12 physical persons that are members of the collective. Since its establishment, CIA is cooperating with World Bank. Joined to the IFAD projects since 2013.

5. Our Aim Main aim of CIA activity is to give micro-credits to the farmers in order to development the activities of small and medium entrepreneurship by Borrower groups (BG) and Credit Unions (CU) that called as local financial intermediaries in the 6 regions of Azerbaijan – Nakhchivan AR, Masalli, Sheki, Ganja, Beylagan and Khachmaz region. At present, CIA is implementing to provide micr- credits to the producers of agricultural products more than 1500 villages of 33 regions of the Republic. The Strategic Plan of CIA is to support the development of the agricultural sector of the Republic, and to achieve the establishment of specialized and sustainable Credit Unions institute

6. Borrower groups (BG)- is a group that consists of 5-10 physical persons who living in the same village, engaging in entrepreneurial activity and taking liability according to joint warranty. Credit Union (CU)- is a non-bank credit organization that created to their mutual crediting by focusing free cash of physical persons that combining voluntary and/or legal persons that is the subject of small entrepreneurship acting under On Credit Unions Law of the Republic of Azerbaijan, and under the common interest.

7. Our Strategy: is to improve the services provided to customers and required by them by using modern technologies and trainings and to create extensive branch network and strong client base Our mission: is to create conditions for the development of farmers operating in the regions of the Republic of Azerbaijan, to achieve the growth of agriculture sector by providing credit in transparent and the most favorable terms.

8. CIA is implementing to give credits by the maximum reduction of expenses belong to the peasant and by the assessment of applications on granting credits, its clearance and its providing by the simplest methods. Giving credits to BG Giving credits to CU Giving Consumer loans Crediting of individual farms The credits are given to BG in the amount of 500-3000 manats with 15-26% for 24months The credits are given to CU up to the amount of 150 000 manats being annual 10% for 36 months (percent can be changed according to the latest six month auction rate of National Bank). Consumer credits are given up to 15 000 manats with 25-30 % for 24 months, small and medium-sized business credits are given up to 25 000 manats with 25% for 12-36 months The services

9. 20022003200420052006200720082009201020112012TOTAL Credits given to BG 46,3131,709,1704,209,3057,436,5807,709,6004,633,2002,757,7003,084,7003,174,6002,295,3003,792,50040,848,968 Credits given to CU 043,5131,088,3073,479,1464,682,9216,711,6157,168,19010,509,28513,696,83614,512,43013,798,85175,691,094 Consumer loans 000000961,768919,180405,075543,150626,8503,456,023 TOTAL 46,3131,752,6835,297,61210,915,72612,392,52111,344,81510,887,65814,513,16517,276,51117,350,88018,218,201119,996,085 Specific weight of BG loans 100.0%97.5%79.5%68.1%62.2%40.8%25.3%21.3%18.4%13.2%20.8%34.0% Specific weight of CU loans 0.0%2.5%20.5%31.9%37.8%59.2%65.8%72.4%79.3%83.6%75.7%63.1% Specific weight of Consumer loans 0.0% 8.8%6.3%2.3%3.1%3.4%2.9% Information on credit amounts given by CIA during 2002-2012 (thousand)

10. Information on credit amounts that given by CIA during 2002- 2012 (thousand)

11. YEARS20022003200420052006200720082009201020112012Total Credits given to CU 043,5131,088,3073,479,1464,682,9216,711,6157,168,19010,509,28513,696,83614,512,43013,798,85175.691.094 Number of CU0219303233263343454673 Information on credit that given to Credit Unions by CIA during 2002-2012 (thousand)

12. Direct buyer of credit resources Amount of granted credit, (thousand) Number of credit Average credit amount for 1 debtor Borrower Groups 40,848,96880,870505 Credit Unions75,691,09434,7592,178 Physical persons (Consumer loans) 3,456,0236825,067 TOTAL119,996.075116,311.007,750