Credit line for Armbusinessbank CJSC to finance SMEs in Armenia
Project overview
A credit line to finance SMEs.
Sustainable development impact
The project will finance small, medium-sized and corporate businesses in Armenia, with a focus on economic diversification and creating and modernising high-value-added production.
An assessment of potential subprojects indicates that many concern sectors prioritised by the Bank: energy, transport and telecommunications.
Some Bank financing will replenish businesses’ working capital, which is not expected to contribute significantly to sector growth.
The project may indirectly create jobs and increase tax revenue in Armenia and other EDB member states.
Integration effect
The project may advance integration between EDB member states.
Some subprojects are expected to have a substantial integration effect through supplies of equipment, raw materials and other goods.
The portion of the credit line earmarked for trade finance will support trade between the Bank’s member states.
The project is also associated with increased investment between member states: the borrower’s sole shareholder is Chrystie Management Inc., whose beneficial owner is a resident of the Russian Federation.
