ArmInfo. ARARATBANK and the German DEG investment company (Deutsche Investitions -und Entwicklungsgesellschaft mbH) have signed a $10 mln loan agreement for SME finance. The press office of ARARATBANK has told ArmInfo that the loan is provided for 7 years. This cooperation will enable the Bank to increase the finance to the small and medium-sized enterprises.
"Effective and long-term cooperation has been launched. It will give an opportunity to ARARATBANK to provide the customers with long-term resources, thereby strengthening their positions on the target markets," Chairman of the Board of ARARATBANK Ashot Osipyan says, stressing that the program is one more step towards expansion of partnership with international financial structures.
To note, DEG (Deutsche Investitions -und Entwicklungsgesellschaft mbH) is a member of KfW Group. It specializes in private sector financing in both developing countries and transition economies.
According to the Financial Rating of Armenian Banks by the Agency of Rating Marketing Information (ArmInfo), ARARATBANK is among the top ten banks in terms of SME lending (35.7 bln AMD as of 1 October 2015, with a 17.3% year-over-year growth). In the total loan book of the Bank, the share of SME loans is 54% versus 47% a year before.