ArmInfo.The U.S. Development International Finance Corporation (DFC) today announced a commitment for a $50 million loan to ACBA Bank aimed at expanding financing for small businesses in Armenia, fostering economic growth and empowering entrepreneurship. According to the US Embassy in Armenia, the Bank will direct at least 50% of the DFC funds to finance women-owned and women-led businesses, aiming to create more inclusive economic opportunities.
The start of cooperation was announced during the visit of DFC Deputy CEO Nisha Biswal to Armenia, emphasizing the U.S. commitment to supporting economic growth in the region. The document marking the beginning of cooperation between the parties was signed by ACBA Bank CEO Hakob Andreasyan and DFC Deputy Director Nisha Biswal. The event was also attended by U.S. Ambassador to Armenia Khristina Kvien, Deputy Minister of Economy of Armenia Arman Khojoyan and USAID/Armenia Mission Director John Allelo.
"Small businesses are the engine of every free market and dynamic marketplace, generating jobs and opportunities for their communities. DFC is proud to partner with ACBA Bank, a leading financial institution in Armenia seeking to promote small businesses and bolster women's entrepreneurship," said Nisha Biswal.
In turn, Hakob Andreasyan noted that ACBA Bank was the first in Armenia to launch a partnership with DFC. " Small and medium enterprises are the backbone of Armenia's economy, driving the country's growth and employment. This cooperation will not only provide an additional boost to the development of Armenia's economy, but also create new opportunities in our communities, ensuring sustainable growth," said Andreasyan.
As stated in the source, DFC loan funds provided to ACBA Bank advances the agency's global work to mobilize private investment to advance development round the work.
During fiscal year 2024, DFC committed more than $12 billion to projects that expand access to food, energy, modern infrastructure, healthcare, and financial services. The corporation supports these projects with loans, equity investments, political risk insurance, and grants for technical assistance It should be noted that DFC partners with the private sector to finance solutions to the most critical challenges facing the developing world today. The organization invests in such areas as energy, healthcare, infrastructure, agriculture, and small business and financial services. Investments adhere to high standards and respect the environment, human rights and worker rights.
ACBA Bank is one of the leaders of the Armenian banking system, the absolute leader in financing the country's rural sector. After the initial public offering (IPO) in 2021, Acba bank has more than 5,500 shareholders. Thanks to the introduction of the latest digital solutions and the use of new technologies, the Bank continuously develops the quantity and quality of the financial services provided. Acba Bank is represented in all regions of Armenia, has 65 branches and is considered one of the largest employers in the financial system and the country. Recall that in the first quarter of 2024, ACBA Bank topped the list of large taxpayers among Armenian banks, having paid AMD 3.2 billion, of which 2.7 billion were direct taxes (including profit tax and income tax).
