The European Bank for Reconstruction and Development (EBRD) is providing a €5 million financial support package to Armeconombank to facilitate the private sector’s transition to more sustainable, low-carbon and climate-resilient practices.

The project is supported by the European Union (EU), with grant incentives allocated through Armeconombank.

The package is provided under the EU4Business-EBRD credit line, with incentives for on-lending to local small and medium-sized enterprises (SMEs) with export potential for investments in climate change mitigation and adaptation.

It will also help SMEs to upgrade technologies and services to EU standards while promoting the use of green technologies. This is the fourth project to be signed in Armenia under the programme.

“We are pleased to step up our support for SMEs in Armenia together with our long-standing partner Armeconombank. The funding aims to facilitate the competitiveness of local firms in Armenia by helping to invest in modern technology that will allow companies to strengthen their operations locally and take advantage of international trade opportunities,” Dimitri Gvindadze, EBRD Head of Armenia, said.

“The EU is committed to supporting small businesses’ growth and sustainability. To this end, the EU4Business-EBRD facility supports SMEs with impact financing for green technologies. The overall contribution of the EU to the EU4Business-EBRD facility covering different Armenian banks is €6 million,” Ambassador Andrea Wiktorin, Head of Delegation of the EU to Armenia, said in her turn.