Bank of Georgia's Armenian branch to receive loan from World Bank

(Alliance News) - Bank of Georgia Group PLC on Tuesday said its Armenian subsidiary Ameriabank CJSC had signed a USD200 million loan agreement with the World Bank Group's International Finance Corp.

Half this amount will fund climate finance projects in Armenia's "high-growth" economy, the Tblisi-based banking firm said. A quarter will go towards micro, small and medium enterprises, and a quarter towards female-led MSMEs.

"This long-term loan agreement stands out as the largest of its kind ever signed between IFC and a financial institution in Armenia," said Artak Hanesyan, Ameriabank's chief executive officer.

"Beyond its scale, the agreement is significant for its purpose: supporting business initiatives and services that address climate change challenges, empowering women entrepreneurs, and contributing to a sustainable future," Hanesyan added.

The deal aims "to boost private investment in sustainable development", noted the IFC's Senior Regional Manager for Europe, Marcelo Castellanos. The IFC hopes to see it replicated by other players in the Armenian finance sector.

Bank of Georgia shares were up 0.7% at 4,490.00 pence each on Tuesday morning in London.

By Holly Munks, Alliance News reporter

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