BSTDB Cooperates With IFC in Supporting Agribusiness in Armenia
Press Release | 24-May-2013
The Black Sea Trade and Development Bank (BSTDB) and the International Finance Corporation of the World Bank Group (IFC) support the growth of Euroterm, a leading producer of fruit juices and canned food in Armenia. The operation will help the development of Armenia’s food processing industry, increase exports and create new business and job opportunities for local rural community.
BSTDB will invest EUR 2.05 million and IFC will provide USD 2.5 million to Euroterm for a period of seven years to support the company’s expansion program.
Furthermore, BSTDB provided technical assistance in preparation of the project business plan, including a technical feasibility study and financial projections.
BSTDB has been supporting Euroterm since 2007, when the first Bank’s loan of EUR 3 million helped modernize the company’s production and packaging equipment and invest in cultivation of fruits and vegetables.
“We are happy to see IFC joining us in financing a leading Armenian producer and helping to strengthen the agribusiness supply chain in the country. This operation is a good example of synergy that international financial institutions develop to increase the effectiveness of their operations to support growth and job creation” said Mustafa Boran, BSTDB Vice President commenting on the deal.
BSTDB has been active in Armenia since 1999, having financed 20 operations to a total amount of about EUR 90 million supporting small business development, food processing, retail and the financial sector.
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Euroterm, established in 1998 became one of the industry leaders in Armenia, producing high quality juices and food products under "Noyan” brand. The brand enjoys a strong recognition in Armenia and abroad, as the Company exports more than half of its products to USA, France, Sweden, Australia, Russia and other countries. Euroterm commands 13% of the Armenian juice market, while the Company’s domestic sales account to 40% of the total juice sales in Armenia. www.noyan.am, www.euroterm.am
The Black Sea Trade and Development Bank (BSTDB) is an international financial institution established by Albania, Armenia, Azerbaijan, Bulgaria, Georgia, Greece, Moldova, Romania, Russia, Türkiye, and Ukraine. The BSTDB headquarters are in Thessaloniki, Greece. BSTDB supports economic development and regional cooperation by providing loans, credit lines, equity and guarantees for projects and trade financing in the public and private sectors in its member countries. The authorized capital of the Bank is SDR 3 billion (appx. EUR 3.5 billion). BSTDB is rated long-term “A-” by Standard and Poor’s and “A3” by Moody’s. www.bstdb.org
For more information about IFC, please, visit www.ifc.org