ArmInfo. The European Investment Bank (EIB) has made its first ever agreement with Ameriabank, providing the bank with 105 million euros in financing-its largest direct loan to a bank in the South Caucasus region. The funds will be used to finance micro, small and medium-sized enterprises (SMEs) in Armenia and green economy projects.
The EIB representative noted that they are delighted to partner with Ameriabank to strengthen Armenia's private sector and promote sustainable economic growth. The EIB representative also reported that the agreement is supplemented by grant assistance from the European Union, which will allow the Bank to provide loans to SMEs in national currency.
Ameriabank CFO Hovhannes Toroyan, in turn, emphasized that Ameriabank is the largest creditor to the Armenian economy: the bank's portfolio is 1.3 trillion drams, of which 270 billion is the total SME portfolio as of the end of 2024. He noted that the Bank serves more than 50 thousand SMEs throughout Armenia every day, and over 2/3 of its clients use mobile services, which greatly simplifies joint work. At the same time, Toroyan noted that the SME portfolio reflects almost the entire economy of Armenia. "All areas in which SMEs operate are proportionally represented in our portfolio," said the CFO of Ameriabank. Speaking about the agreement with the EIB, he expressed hope that this cooperation will provide local businesses with affordable funding, enabling them to reach their full potential and contribute significantly to Armenia's economic growth. As the largest lender in the Armenian economy with a solid portfolio in green and sustainable funding, we are confident in our ability to foster a more sustainable and inclusive economic future for Armenia.".
The signing ceremony of the loan agreement was also attended by the head of the EIB representative office in the South Caucasus, Maciej Czura, and the EU Ambassador to Armenia, Vassilis Maragos. In particular, the head of the EIB in the South Caucasus noted that through cooperation with Ameriabank, the European Investment Bank is practically doubling the volume of projects in Armenia, which has already reached about 1 billion euros. He noted that the EIB's work contributes to the implementation of EU priorities in Armenia, highlightinh the transport sector, energy, urban infrastructure development, water sector, education and private sector development as areas of interest to the Bank. At the same time, Maciej Czura expressed hope that cooperation with Armenian partners will continue to develop at an even higher pace.
EU Ambassador to Armenia Vasilis Maragos noted that " With this support to Armenian MSMEs, we are delivering on our commitment to further support Armenian private sector and contribute to addressing the pressing need for access to finance including in local currency. This assistance is part of the EIP for Armenia which is a comprehensive initiative aimed at fostering economic growth, sustainable development, and prosperity in the country. We will further build on these efforts by delivering in total ?270 million under the Resilience and Growth Plan in the period 2024-2027. A large part of it will be dedicated to business development, targeted at tech, start-ups and new export opportunities, which will support Armenia's economic diversification,"
Maragos noted that the EU and Armenia have a long history of cooperation, during which the European Union has not only invested in infrastructure, provided loans and grants to various sectors of the economy, but also contributed to the security of Armenia. In this regard, he recalled the recent decision of the EU Council to extend the mandate of the EU Monitoring Mission in Armenia, which is another proof of trust in the future of Armenia and its security. "We intend to strengthen the economy, and through joint efforts, investments and lending we will achieve the desired result - strengthening the welfare of the people of Armenia," the EU Ambassador to Armenia said.
