Uplifting Rural Uzbekistan: The Role of Renesans Microfinance

Uzbekistan, located in Central Asia, is not only a country of rich history and vibrant culture but also a place where microfinance is making a significant difference. With a population of 36,506,301 people and a GDP of $80.384 billion, Uzbekistan faces unique economic challenges, especially in rural areas. That’s why Renesans, a pioneering microfinance institution, is on a mission to transform lives in this region.

Renesans focuses on providing financial support to entrepreneurs in the rural areas of the country, where 75% of their nearly 10,000 clients reside. The organisation has a dual commitment to making a positive impact: 

1. support the further development of better living conditions in rural communities.

2. empowering women entrepreneurs, who make up 55% of its client base. 

To better serve its clientele, Renesans strategically relocated its headquarters in 2017 to the capital city of Tashkent —a central transportation hub accessible to clients travelling from as far as 130-150 kilometres away.

In February 2018, Renesans opened its inaugural branch in Chirchik, becoming the pioneer microfinance institution to establish a presence in the area. This marked the beginning of a broader network, composed of 13 branches across five regions. Renesans also achieved a milestone in 2019 by becoming the first microfinance institution in Uzbekistan to receive a loan from foreign investors. 

By investing in their projects on Lendahand, Renesans will be able to extend loans to approximately several small entrepreneurs, fostering economic growth and furthering its mission to enhance prosperity and stability in Uzbekistan.

The Crucial Role of Microfinance Institutions in Central Asia

Investments in MFIs within the Central Asian context represent strategic tools not only for poverty reduction but also for the cultivation of more sustainable and resilient economies. These institutions play a crucial role in bridging the financial gap of those who might otherwise be excluded from traditional banking systems, stimulating inclusivity and acting as agents of economic transformation. This financial inclusion is not just about loans; it's about providing a pathway for individuals to break the chains of poverty, fostering self-reliance, and contributing to the overall stability and prosperity of Uzbekistan. 

Read more about entrepreneurship in Central Asia in our blog article here.

The Fashion Store of Xudaybergenova

Back in 1999, Xudaybergenova started her venture into traditional clothing, with Renesans by her side. Thanks to a couple of business loans, what started as a small home-based shop has now evolved into a flourishing business with multiple shops, employing 20 skilled women as seamstresses and shop assistants in the central market in the capital city of Tashkent.

Renesans played a key role in Xudaybergenova's success story, showing how the right financial support can make a world of difference. The challenges faced by individuals in Uzbekistan, who lack access to banking services, find a transformative solution in Renesans.

Ready to be part of the change? By investing through Lendahand, you can contribute to the alleviation of financial disparities and help create sustainable opportunities for entrepreneurs in Uzbekistan.

Take a look at our project in Uzbekistan here and join us in transforming the world with Renesans.