This loan, aimed at corporates and small and medium-sized enterprises (SMEs), will facilitate investments in eco-friendly initiatives.
Of the total loan amount, the EBRD will contribute €7.0 million, while the GCF will provide €2.3 million. Notably, the GCF stands as the largest global climate fund, established in 2010 under the United Nations Framework Convention on Climate Change to aid low-emission and climate-resilient projects in developing nations.
Inecobank will receive these funds under the EBRD's Green Economy Financing Facility (GEFF), which supports businesses in transitioning to green practices and adopting climate-friendly technologies. These investments are not only environmentally beneficial but also contribute to enhanced productivity and reduced costs for businesses.
The GEFF's support will help foster a greener economy in Armenia, aligning with the EBRD's Green Economy Transition (GET) approach. Potential investments include technologies promoting sustainable energy and water usage, such as thermal insulation, photovoltaic solar panels, geothermal heat pumps, electric vehicles, charging infrastructure, and water-efficient irrigation systems. The GEFF Technology Selector aids businesses in identifying available green technologies in Armenia.
Additionally, companies interested in financing green initiatives can access investment incentives provided by the Climate Investment Funds through the GEFF program.
As a prominent bank in Armenia and a longstanding partner of the EBRD, Inecobank is well-equipped to reach corporates and SMEs nationwide, along with technology suppliers, producers, vendors, and installers benefiting from green technologies.
Since commencing operations in Armenia in 1992, the EBRD has invested €2 billion in 210 projects across various sectors, with a significant focus on the private sector, accounting for 92% of these investments.
