Project description

Revolving trade finance loan facility

Project objectives:

Financing/securing trade contracts of the borrower’s clients related to imports and exports to and from Armenia

Sustainable development effect:

  • The project facilitates the growth of the borrower’s banking activities, including business lending, and the expansion of its customer base, thereby fostering development in the real sector.
  • The project has potential to support job creation and boost tax revenues through the supply of equipment for new production facilities and raw materials to expand sub-borrowers’ existing operations.
  • Subprojects funded by the borrower could lead to increased tax revenues at various levels as sub-borrowers expand their production facilities. No information regarding related socio-economic and environmental impacts is available. The project might indirectly contribute to improvements in the real sector, living standards and the environment.

Integration effect:

  • The project finances trade contracts between Armenian companies and the Bank’s member states.