YEREVAN, December 15, /ARKA/. Ardshinbank has signed a $25 million one-year Club Trade Finance Facility arranged by Citi with Asian Development Bank (ADB). ADB is supporting a portion of the facility through their Trade Finance Program (TFP) in the form of a guarantee, Ardshinbank said in a press release.
It said this is the first Club Trade Finance Facility arranged by Citi for Ardshinbank. Proceeds of this will support import and export transactions for top corporate customers of Ardshinbank, increasing the volume and value of trade transactions in Armenia’s key economic sectors, including energy, mining, and services.
“We are pleased to be at the forefront of providing much needed trade finance products to our corporate and small and medium-sized enterprises (SME) clients. It will not only diversify and strengthen our client base, but also serve our purpose to contribute to sustainable economic growth in Armenia,” said Mher Grigoryan, Ardshinbank’s Chief Executive Officer. “I would like to thank Citi, our long-term partner, and ADB for a fruitful collaboration and successful completion of the transaction.”
“We aim to deliver bespoke and best in class trade solutions at Citi. The firm’s global reach and expertise in financing trade flows puts us in the ideal position to help support progress and growth in developing markets,” said Chafic Haddad, EMEA Head of Financial Institutions and Correspondent Banking, Treasury and Trade Solutions at Citi.
“By facilitating this landmark Club Trade Finance Facility for Ardshinbank, we have been able to form a partnership with a number of industry professionals to ensure we can provide the ideal solution for Ardshinbank’s trade financing needs.”
“ADB is delighted to be part of this transaction with Ardshinbank and Citi,” said Nana Khurodze, Relationship Manager at ADB. “Through this facility, Ardshinbank will be able to grow its trade finance operations to support more importing and exporting companies, including small and medium-sized businesses. This will support growth and job creation in Armenia.”
ADB’s TFP in Armenia has supported over $55.9 million in trade through 159 transactions since 2012, 95.6% of which have been SME-related deals.
Ardshinbank is a leading Armenian bank with a wide sales network comprising of 64 branches. It offers a broad range of services to corporations, SMEs, and individuals. It is the only private entity in Armenia with assigned ratings from two international major rating agencies—Moody’s and Fitch—equal to the rating of Sovereign.
Citi, the leading global bank, has approximately 200 million customer accounts and does business in more than 160 countries and jurisdictions. Citi provides consumers, corporations, governments, and institutions with a broad range of financial products and services, including consumer banking and credit, corporate and investment banking, securities brokerage, transaction services, and wealth management.
ADB, based in Manila, is dedicated to reducing poverty in Asia and the Pacific through inclusive economic growth, environmentally sustainable growth, and regional integration. Established in 1966, ADB is celebrating 50 years of development partnership in the region. It is owned by 67 members—48 from the region. In 2016, ADB assistance totaled $31.7 billion, including $14 billion in co-financing.
The Trade Finance Program (TFP), backed by ADB’s AAA credit rating, provides guarantees and loans to over 200 partner banks to support trade, enabling more companies throughout Asia to engage in import and export activities. With dedicated trade finance specialists and a 24-hour response time, the program has established itself as a key partner in the international trade community, providing fast, reliable, and responsive support to fill gaps in the region’s most challenging markets. Since 2009, TFP has supported more than 9,200 small and medium-sized businesses across developing Asia—through over 14,000 transactions valued at over $26 billion—in sectors ranging from commodities and capital goods, to medical supplies and consumer goods. -0-
