The International Finance Corporation announced on Tuesday that it is helping Armenia's Unibank increase access to credit for small and medium enterprises involved in the importing and exporting industry.
The IFC will provide Unibank with a short-term revolving loan of up to $5 million designed to support working capital for trade.
"This new loan from IFC will help us offer good conditions to our borrowers, increasing opportunities for many Armenian entrepreneurs," Vardan Atayan, the chairman of the executive board of Unibank, said. "Our approach aims to support growth and expansion of businesses, especially small and medium enterprises."
The IFC provided Unibank with a $5 million loan in December to address the long-term financing needs of its SME clients. IFC is also supporting the bank by providing advisory services meant to improve SME credit processes and risk management.
"Small and medium-sized importers and exporters in Armenia often have limited access to this type of short-term finance solution to run their day-to-day operations," Thomas Lubeck, the IFC regional manager for the South Caucasus, said. "We hope that the project will address this challenge, benefit local companies and have a positive impact on the economy."
Armenia became a shareholder and member of the IFC in 1995. Since that time, the IFC invested $287 million in 48 Armenian projects across multiple sectors, including mining, manufacturing and financial markets.