The European Investment Bank (EIB Global), the bank of the European Union, and Ardshinbank OJSC have signed a €100 million loan agreement to expand access to finance for micro, small and medium-sized enterprises (MSMEs) and mid-cap companies across Armenia. The signing ceremony took place on 12 December in Yerevan.
Under this facility, Ardshinbank will extend EIB Global-backed credit resources to Armenian companies seeking to modernise their operations, expand production capacity, adopt new technologies or enhance competitiveness in local and international markets.
In addition, 10% of the facility will be allocated to green lending to support energy efficiency, renewable energy and other environmentally sustainable investments.
A portion of the financing may be provided in local currency to protect businesses against currency risk, the Bank said in a press release. The European Union will support the operation with grant funding, helping to ensure that the financing remains affordable for Armenian firms. Overall, the operation is expected to benefit around 300 enterprises and sustain more than 10,000 jobs.
