The European Bank for Reconstruction and Development (EBRD) and Anelik Bank CJSC singed а USD 3mln loan agreement on financing the energy saving field in Armenia.

“What is special about this program is that it will allow the introduction of systems and processes which reduce energy consumption, including the modernization of production lines and small hydropower plants. Being the first Armenian bank to joint this EBRD-let program, we are confident it will bring effective results and we are ready to finance all the applicants who meet the program requirements,” said Chairman of the Board of Anelik Bank Samvel Chzmachyan.

According to him, the loan is provided to the bank for a five-year term.

The maximum amount of on-lending may total up to $2.5mln, with annual interest rates to vary depending on risks, but not to exceed 12-13%.

“With the help of this loan, Armenian businesses can reduce their energy costs and thus become more competitive on the domestic and international markets. Many companies conceive that they need investments to reduce energy costs and this program is created for them,” Head of the EBRD’s Office Armenia Valeriu Razlog said.

The loan will allow Armenian clients to make energy savings up to an estimated 4GWh per year and reduce CO2 emissions by 2,200t per year.

Anelik Bank CJCS will launch direct lending on October 19.