EIB Global signs first direct loan agreement with Commercial Bank of Armenia |

• A €55 million loan to Acba Bank to support the local private sector.
• More than 200 small businesses and 6,000 jobs will benefit from the operation.
• Providing credit to underserved businesses through the European Investment Bank’s Armenia MSME Resilience Fund.

EIB Global, the global arm of the European Investment Bank, has provided a €55 million loan to Acba Bank in Armenia to expand financing for micro, small and medium enterprises (MSMEs) and mid-sized companies in the country. This is the first time EIB Global has provided a direct credit line to a commercial bank in Armenia.

The loan builds on the EIB’s global commitment to support economic development, stimulate private sector growth and create jobs. EIB’s global financing will be provided by Acba Bank to the local private sector at affordable rates to promote economic development and stimulate investment. More than 200 micro, small and medium-sized enterprises, with a focus on women-led businesses, are expected to benefit from the operation, maintaining more than 6,000 jobs.

“We are delighted to enter into this new partnership with Acba Bank,” Theresa Czerwinska, EIB Vice President in charge of Armenia“Our goal is to contribute to building stronger, more resilient economies that create jobs. The loan will foster the growth and competitiveness of Armenian MSMEs, including in rural areas of the country, and will promote entrepreneurship in line with EU and Armenia’s priorities.”

The initiative is part of the EIB’s Global Armenia MSME Resilience Fund, which aims to increase access to finance for the country’s private sector. The Fund provides financing to local businesses through Armenian banks, promoting long-term economic resilience.

“We are committed to reassuring banks that lending terms will be attractive with the support of EU local currency support grants. As we finalise the grants under the Neighbourhood Investment Platform (NIP), this initiative will complement the EIB’s own risk business, enhancing financial access and support for local businesses,” Jan Plessinger, Charge d’Affaires of the EU Delegation to Armenia, said.

This action contributes to the EU’s goal of supporting 30,000 micro, small and medium enterprises to achieve a sustainable, innovative and competitive economy, which is one of the five pillars of the Eastern Partnership Economic and Investment Plan for Armenia.

“Acba Bank is currently launching the first direct large-scale cooperation in Armenia with the European Investment Bank, with funding of €55 million. Acba is one of the main funders of SMEs in Armenia and this funding will allow us to provide an additional boost to the development of MSMEs. Promoting the development of MSMEs is our main goal, as they are considered the driving force of our country’s economy,” Acba Bank CEO Hakob Andreasyan said.

Background Information

About the European Investment Bank and EIB Global

The European Investment Bank is the long-term financing institution of the European Union, owned by its member states. It provides long-term financing for sound investments that achieve EU policy objectives, supporting projects in four priority areas: infrastructure, innovation, climate and environment, and SMEs.

European Investment Bank Global EIB Global is the EIB Group’s unit specialising in increasing the impact of international partnerships and development finance, contributing to the EU’s three main priorities: the European Green Deal, Global Gateway and Jobs, and Sustainable and Inclusive Growth. Within Team Europe, EIB Global builds strong and targeted partnerships with other development finance institutions and civil society, and works closely with other multilateral development banks. EIB Global works through our Offices around the world This includes the European Investment Bank’s South Caucasus Regional Office, which is responsible for Armenia.

About Acba Bank

Acba Bank is one of the leaders of the Armenian banking system and an absolute leader in financing the rural sector in the country. After its initial public offering (IPO) in 2021, Acba Bank has more than 5,600 shareholders. Thanks to the implementation of the latest digital solutions and the use of new technologies, the bank continuously develops the quantity and quality of financial services provided. Acba is represented in all regions of Armenia, has 65 branches and is considered one of the largest employers in the financial system and the country.