USD 25 million to support the private sector
ՀԱՍԱՐԱԿՈՒԹՅՈՒՆAs a result of the cooperation between Acba bank and European Bank for Reconstruction and Development (EBRD) USD 25 million will be directed at the development of Armenia’s economy through financing micro, small and medium enterprises, as well as companies led by women. Financing will be provided via Armenian drams or U.S. dollars.
Acba bank has attracted around USD 7 million from the mentioned funds in the framework of EU4Business-EBRD credit line program. Thanks to this, the bank will help the local companies increase their competitiveness through raising the quality of their products and services, as well as making investments in "green" technologies. European Union will also provide incentive grants and free technical support to sub-borrowers in the framework of EU4Business initiative. As part of the US$ 25 million financial package, US$ 4 million will fall under the Women in Business (WiB) programme that promotes women’s participation in business and it supported by the EU. Frank Hess, Head of Cooperation of the Delegation of the European Union to Armenia, attended the signing ceremony.
“Acba bank and the European Bank for Reconstruction and Development have a rich history of cooperation. We have started our strong partnership with EBRD in 2003. Now we are signing new financing agreements of USD 25 million, and a part of it is in local currency. With this resources Acba bank will finance Armenian SMEs and the business will receive an opportunity to involve necessary technology and equipment corresponding to EU standards. Fostering women entrepreneurship is an important component of the program”, mentioned the CEO of Acba bank Hakob Andreasyan.
“Acba bank is a vital partner for us in Armeina. We are proud for our nearly 20-year-long cooperation. We want to create new opportunities for the development of SMEs in Armenia; it is also important to support the companies lead by women. We will continue supporting the private sector of the economy and fostering the development of Armenia. We are grateful to the European Union for the cooperation, for contributing to the financing process. Apart from all this, I would also like to congratulate Acba Bank for conducting an initial public offering of its shares in the local market. This was very important both for the development of the bank and for the country's economy," said EBRD President Odile Renaud-Basso. ”
Acba bank is one of the leaders of the Armenian banking system, the absolute leader in financing the country's agricultural sector. After the initial public offering (IPO) in 2021, Acba Bank has more than 5,200 shareholders. Thanks to the implementation of the latest digital solutions, as well as the use of new technologies, the bank continuously develops the quantity and quality of the provided financial services. Acba is represented in all regions of Armenia, has 63 branches, and is considered one of the largest employers in the country and in the financial system.
Since 1992 EBRD has invested around EUR 2 billion in 201 programs in Armenia.