In the framework of joint agreement with DEG (Deutsche Investitions und Entwicklungesellschaft MBH) and OeEB (Oesterreichische Entwicklungsbank AG) Inecobank will receive USD 10 million financing to promote development of SME sector in Armenia.
"Small and medium sized enterprises are the key and dynamic players of the private sector and this joint loan will be used for financing the SME businesses and helping them to expand their business. This sector is a strategic direction for Inecobank and we highly value the contribution of OeEB and DEG towards the fulfilment of our mission. Inecobank has long history of efficient cooperation with DEG which is also the shareholder of the bank since 2008. With OeEB this is the first deal which we are sure will become the first step towards creating solid grounds for further long term and fruitful cooperation" said Avetis Baloyan, the CEO of Inecobank.
"We are proud to support with Inecobank a partner distinguished by exceptional regional knowledge and a proven track record. As one of the bank’s focus activities is on financing of small and medium-sized enterprises, the project renders a contribution to securing jobs in this field. It is a major aim of DEG to facilitate access to capital for small and medium-sized enterprises. SME are often too small for commercial banks and too big for micro-finance institutions. This financing gap needs to be closed" said Holger Rothenbusch, Head of DEG’s Asia / Europe Division.
Inecobank intends to develop its activities in the SME sector in the future, where the Bank is positioning itself as a user-friendly bank providing high-quality and accessible banking services for its customers. As a result of effective cooperation with authoritative international financial institutions, customer-oriented strategy and clear and flexible credit policy adopted by Inecobank, the SME loan portfolio increased significantly during the last years.
"We consider Inecobank being an outstanding partner to support the SME sector in Armenia", adds Andrea Hagmann, Member of the Executive Board of OeEB. "Small and medium enterprises are a solid basis for a healthy prospering economy and will be the key for further development in Armenia."