Yerevan, Armenia, January 21, 2016—IFC, a member of the World Bank Group, is providing a $50 million subordinated loan to Ameriabank, the largest bank in Armenia, to support its capital and boost its capacity to lend to local enterprises, expanding access to finance and helping drive economic growth and job creation.
By providing long-term capital support, IFC aims to increase the stability of Armenia’s banking sector and support the strategic goals of Ameriabank, its valued partner. Considering the quality of Ameriabank’s corporate governance, coupled with solid growth, IFC’s subordinated loan will help the bank grow and prepare for an initial public offering.
“We are delighted with IFC’s trust. This transaction is a hallmark of quality for our bank operating in this market,” said Andrew Mkrtchyan, Chairman of the Board of Directors at Ameriabank. “We are confident this cooperation has many avenues to explore for the benefit of our organizations and Armenia’s banking sector.”
Tomasz Telma, IFC Director for Europe and Central Asia, said: “By providing capital support to one of our key partner banks in Armenia, we endorse its growth strategy and future plans. This cooperation is part of our efforts to increase the stability of Armenia’s banking sector, which is critical for broader economic development.”
Armenia became an IFC member in 1995. Since then, IFC’s long-term investment commitments have totaled $340 million, including $22.8 million mobilized from other lenders, financing 47 projects across a range of sectors, including financial markets, manufacturing, agribusiness, services, and mining. IFC has also supported trade transactions worth more than $122 million through its trade finance program, and implemented advisory projects focused on private sector development.
World Bank Group
Ameriabank
