IFC AND ARMECONOMBANK SIGN 2 MILLION DOLLAR CREDIT AGREEMENT

Noyan Tapan
Feb 27 2007

YEREVAN, FEBRUARY 27, NOYAN TAPAN. A credit agreement of 2
million USD was signed between Armeconombank and the International
Financial Corporation (IFC) on February 27. Armeconombank’s Executive
Director Davit Sukiasian and IFC Regional Director for Central and
Eastern Europe Gerome Souklal signed the document. In the words
of D. Sukiasian, funds provided by IFC – the World Bank’s unit on
private sector – will be used for crediting Armenia’s small and medium
enterprises (SME) and mortgage market. Financing includes 1 million
USD for each of the these secrors, with repayment periods of 5 and
8 years respectively. According to G. Souklal, this is the third
joint program of IFC and Armeconombank. In 2004, the bank received
a 2 million dollar credit, with 1.5 mln dollars being envisaged for
SME crediting and 0.5 mln dollars – for mortgage crediting. In 2006,
a one million dollar agreement on trade promotion was signed between
IFC and Armeconombank. It was noted that until now IFC has provided
about 30 loans to Armenian SMEs through Armeconombank. The average
amount of loans made 47 thousand USD.

From: Emil Lazarian | Ararat NewsPress