ARMECONOMBANK AND EUROPEAN BANK STUDYING POSSIBLE INTRODUCTION OF HEDGING INSTRUMENTS INTO INTERNATIONAL MONETARY MARKET

YEREVAN, MARCH 29. ARMINFO. Armeconombank and European Bank for
reconstruction and development (EBRD) are studying a possibility
of introducing hedging instruments into the monetary market –
SWAPs and futures. At the International Banking Conference on Trade
Finance organized by EBRD and Armeconombank in Yerevan, Armeconombank
Executive Board Chairman Ashot Osipyan informed journalists that the
instruments of financing will facilitate the entry of the real sector
to new sales markets and to establishment of new partnerships.

Osipyan said that many business meetings and consultations were held
in the course of the conference on the topic of increasing the trade
finance and opening credit lines. All these measures aim to promote
the real sector and circulating assets. Now, Armeconombank, which has
been working with EBRD on the trade finance program since 2003, is a
leader in this market. It provides its clients with monetary resources
for up to a 1.5 year. On the whole, the bank has already effected 115
documentary credit and guarantee operations for a total of $8 million.

“Out experience shows that the cooperation with the institutional
donor, such as EBRD, is a driving force of economic development. Now,
we are implementing already the fifth joint program with the bank. It
concerns co-financing of big enterprises. Due to the support of EBRD,
at the given stage we are working to bring the bank in the line with
international standards. At the next stage, we shall start a direct
cooperation with foreign banks. However, Armenian producers suffer
difficulties with sale of production and our bank will facilitate
this task through trade finance,” Osipyan said.

He also noted that the bank is preparing for a lunge in the mortgage
crediting market. For this purpose, the banks is intensively
negotiating with a number of international donor organizations.