Financed ProjectsACBA SME 4

Identification Code:

OP/16/0037

Total Operation Cost:

10.000.000

Maturity:

48 months

Operation Status:

Description and Purpose of the Operation:

ACBA SME 4

Countries of Operation:

Armenia (100,00 %)

Financial Product:

SME's

Sector:

Financial Institutions

Domain:

Private

Borrower/Client:

4th SME Loan Facility (SMEF) to ACBA-Credit Agricole Bank

Co-Financiers/Participants:

N/A

Guarantors/Sponsors:

N/A

Developmental and Regional Cooperation Impact:

The operation involves a loan for on-lending to small and medium sized enterprises (SMEs) that is expected to have modest but favorable economic benefits for the Armenian economy. The most relevant of these is the additional tax revenue gains from increased economic activity resulting from the financing provided. In addition, the financing will help further enhance benefits such as increases in employment, increase in export capacity and competitiveness, and multiplier effects for other parts of the economy. The regional cooperation element is similarly expected to be modest. Other BSTDB countries are important trade partners for Armenia so to the extent SMEs benefiting from financing from the operation engage in export activities, there will be regional cooperation benefits.

Environmental Classification and Impact (summary):

ACBA-Credit Agricole is an existing Borrower of BSTDB and its environmental and social (E&S) performance during the course of the previous loans has been assessed as satisfactory. The Borrower has developed and implemented a comprehensive E&S management system consisting of the E&S Policy, E&S Risk Management Plan, E&S Exclusion List, as well as specific requirements to ensure compliance with EBRD and IFC standards towards Financial Intermediaries. The E&S management system is well-integrated in the portfolio management and is applied systematically to the credit cycle.

Operation Leader:

Financial Institutions I

E-mail:

fi1@bstdb.org