The European Bank for Reconstruction and Development (EBRD) is providing a USD 25 million loan to Inecobank, a longstanding partner bank in Armenia, for extending support to private companies that have been affected by the economic impact of the coronavirus pandemic.

“Inecobank is well placed to channel EBRD funds to companies that are going through this unprecedented period of volatility. Getting financial help to businesses and providing uninterrupted lending is essential for keeping the economy going,” said Dimitri Gvindadze, Head of EBRD Armenia.

“Inecobank has been financing businesses in all sectors in Armenia for about 25 years. Amid the pandemic the bank is standing by its small and medium-sized enterprise (SME) clients and, through tailored solutions, helping them overcome financial difficulties caused by the crisis. The funds from the EBRD will be used to continue supporting the SME sector,” EBRD said in a statement.

“In this emergency situation we will be able to continue offering special support programmes for the core range of businesses in our economy to weather the current difficulties and create a brighter future, and this is once again possible through cooperation with the EBRD, one of our key partners for many years,” said Aren Naltakyan, CEO of Inecobank.

“The EBRD remains an important partner in Armenia during the Covid-19 crisis and the new financing is part of the efforts to help combat the impact of the coronavirus and support the recovery.

The EBRD is committed to providing support worth EUR 21 billion over 2020-21 to the 38 economies where it currently invests. The support includes a Resilience Framework for existing clients, offering short-term liquidity and working capital.

The EBRD is a leading institutional investor in Armenia. The bank has invested more than EUR 1.5 billion across 183 projects in the country to date, where it is supporting private sector development and the transition to a sustainable, green economy,” reads the EBRD statement.