YEREVAN, December 22. /ARKA/. Armenian Araratbank said today it has signed a $10 million loan agreement with German investment company DEG-DEUTSCHE INVESTITIONS UND ENTWICKLUNGSGESELLSCHAFT MBH (DEG).
According to a press release, the loan, repayable within 7 years will be on-lent to small and medium-sized businesses and enable the bank to increase its overall lending to SMEs.
Araratbank chairman Ashot Osipyan said this program is another important step in the expansion of cooperation with international financial institutions.
“We have laid the foundation for an effective and long-term cooperation that will enable Araratbank to provide long-term credits to customers and help them strengthen their positions in target markets”, he said.
DEG is a member of the German KfW banking group financing investments of private companies in developing countries and in countries in transition.
Araratbank founded in 1991 is owned by Flash company (64.25%), EBRD (25%) and RURAL IMPULSE FUND II SA SICAV SIF (10%). In late quarter 3, 2-015 its total assets were worth 125.78 billion drams, a drop of 9% from the beginning of the year. Its liabilities stood at 103.4 billion drams (a drop of 11.36%) and its capital grew by 3% to 22.3 billion drams. -0-
