IFC HELPS ARMENIA DEVELOP SUSTAINABLE ENERGY FINANCE PRODUCTS

ARKA
May 17, 2010
YEREVAN

YEREVAN, May 17. /ARKA/. International Finance Corporation, a member
of the World Bank Group, is helping Armenian financial institutions
develop sustainable energy finance products, thereby increasing
renewable energy generation and lowering electricity waste and
greenhouse-gas emissions, the IFC press office reported on Monday.

As part of IFC’s regional strategy to address climate change and
promote energy efficiency and renewable energy markets, today IFC’s
Armenia Sustainable Energy Finance Project hosted a seminar on energy
efficiency and renewable energy financing opportunities for Armenian
banks and leasing firms. "Since Armenia imports two-thirds of its
energy from abroad, developing renewable energy sources and unlocking
energy efficiency potential is a top priority for the country,"
the press release says.

IFC experts discussed the key findings of the energy efficiency survey
conducted by IFC among Armenian industrial companies.

"There is huge potential for energy efficiency in Armenian industry,
and tapping into that resource will be beneficial both for companies
and the financial institutions in the country," the press office
quoted Tigran Parvanyan, Armenia Sustainable Energy Finance Project
Manager. "Renewable energy also plays a critical role in decreasing
dependence on imported fuel and raising Armenia’s energy security."

The Armenia Sustainable Energy Finance Project aims to establish
a sustainable market for energy efficiency and renewable energy
investments and contribute to Armenia’s energy self-sufficiency by
working with local and international financial institutions.

According to the press release, the project’s main goal is to
facilitate at least $35 million of energy efficiency lending and
renewable energy investments, decreasing greenhouse-gas emissions,
improving the energy efficiency of small and medium enterprises,
and increasing the share of renewable energy resources in Armenia’s
energy generation portfolio.

The project was launched in January 2010 and is run in partnership
with the Austrian Ministry of Finance.

International Finance Corporation, a member of the World Bank Group,
creates opportunity for people to escape poverty and improve their
lives and fosters sustainable economic growth in developing countries
by supporting private sector development, mobilizing capital for
private enterprise, and providing advisory and risk mitigation services
to businesses and governments.

The IFC new investments totaled $14.5 billion in fiscal 2009, helping
channel capital into developing countries during the financial crisis.

Armenia became a IFC member in 1995.

IFC has been investing in Armenia since 2000 to support financial
institutions, small retailers, and the hotel industry, among others.

It also has implemented advisory projects to strengthen the financial
sector, establish a sustainable market for energy efficiency and
renewable energy investments, and improve the country’s business
environment.