IFC HELPS ARMENIAN FINANCIAL INSTITUTIONS DEVELOP SUSTAINABLE ENERGY FINANCE

PanARMENIAN.Net
May 17, 2010 – 15:24 AMT 10:24 GMT

IFC, 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.

As part of IFC’s regional strategy to address climate change
and promote energy efficiency and renewable energy markets, 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, IFC Yerevan
Office press service reported.

IFC experts discussed the key findings of the energy efficiency
survey conducted by IFC among Armenian industrial companies. They
also presented IFC’s approach to addressing the challenges based
on work with Russian banks under the IFC Russia Sustainable Energy
Finance Project.

"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," said 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. 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.

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.