The OPEC Fund for International Development has signed a US$10 million loan agreement with Evocabank to support micro, small, and medium-sized enterprises (MSMEs) in Armenia.

Lending will focus on women-led businesses as well as energy efficiency and renewable energy projects promoting climate action.

OPEC Fund President Abdulhamid Alkhalifa said that partnering with Evocabank allows us to address two critical development priorities:

“Increasing financial access for MSMEs, especially those that are underserved; and supporting Armenia’s efforts to tackle climate change. This partnership reflects our broader commitment to promoting sustainable economic development and inclusive growth in Armenia.”

The OPEC Fund loan will provide financing to local companies, which represent nearly all businesses in Armenia and provide around 70 percent of all jobs.

“Despite their critical role in the economy, many MSMEs, especially women-lead businesses, often face credit constraints, with nearly three-quarters either partially or fully unable to access necessary financing,” the news release reads.

“We are excited to announce our partnership with the OPEC Fund for International Development. With a USD 10 million facility at our disposal, Evocabank is poised to make a meaningful impact on the growth of micro, small, and medium enterprises (MSMEs) in Armenia. This funding provides a valuable opportunity to further our mission of promoting business development and driving economic progress in the region. We look forward to offering tailored and accessible financing solutions that will empower MSMEs to overcome challenges, foster innovation, and scale their operations to new heights,” Karen Yeghiazaryan, Chairman of Management Board of Evocabank said.

It is noted that the OPEC Fund has been supporting Armenia since 2004 and to date has committed around US$300 million in public and private sector financing, supporting financial institutions, SMEs and the agriculture and energy sectors.