On 29 October, the European Investment Bank’s development branch, EIB Global, signed a €100 million loan with the Central Bank of Armenia to increase access to finance for micro, small and medium-sized enterprises (MSMEs) and mid-caps.
The agreement, signed in Yerevan by Central Bank of Armenia Governor Martin Galstyan and Head of Division at EIB Global Marion Hoenicke, is backed by the European Fund for Sustainable Development Plus (EFSD+).
The funds will be channelled through the Central Bank of Armenia and on-lent to eligible companies via participating commercial banks and universal credit organisations.
Implemented by the German-Armenian Fund, the programme is expected to support around 500 enterprises and sustain approximately 14,000 jobs. At least 45% of the financing will be extended to businesses outside Yerevan, at least 30% will support enterprises promoting gender equality, and at least 40% will be directed to green projects.
“Support to Armenia’s MSMEs is not an isolated effort — it’s at the heart of the EU’s Resilience and Growth Plan, helping build a stronger, more diversified, and future-ready Armenian economy, ultimately bringing Armenia closer to the EU,” said Director for Neighbourhood East and Turkey at the European Commission’s Adrienn Király.
“This transaction aims to strengthen Armenia’s economic resilience by ensuring reliable funding for small businesses, with a particular focus on women entrepreneurs and green initiatives,” added EIB Vice-President Teresa Czerwińska, who oversees the Bank’s operations in Armenia.
This operation builds on four previous EIB credit lines totalling €220 million intermediated via the Central Bank of Armenia, which have broadened access to finance for Armenian MSMEs and strengthened economic resilience.
