Tajikistan’s lower house (Majlisi Namoyandagon) of parliament has seconded the government’s decision to issue debt securities for capitalization of four distressed commercial banks.

A regular sitting of the Majlisi Namoyandagon, presided over by its head, Shukurjon Zuhurov, was held on December 21.

Presenting the government’s decision to lawmakers, Finance Minister Abdusalom Qurboniyon, in particular, noted that the securities guaranteed by the National Bank of Tajikistan (NBT) would be issued in the near future.

“The government will provide 3.85 billion somoni in securities for realization to four commercial banks of the country – Agroinvestbonk, Tojik Sodirot Bonk (TSB), Tajprombank (Tajik Joint-Stock Commercial Industrial Bank for Reconstruction and Development), and Fononbank,” the minister said.

According to him, TSB will receive debt securities for a total amount of 2.25 billion somoni, Agroinvestbonk – 1.7 billion somoni, Tajprombank – 450 million somoni, and Fononbank – 80 million somoni.   

The debt securities are given to the banks on the security of their movables and real estate, Qurboniyon said, adding that supervisory boards will be appointed for the mentioned commercial banks.