Yerevan, Armenia, March 27, 2012—IFC,
a member of the World Bank Group, is partnering with Byblos Bank Armenia
to help the lender to expand mortgage lending and provide more loans to
homeowners who want to make their residences energy efficient, helping
Armenians save power and reduce greenhouse gas emissions.
IFC is providing the bank with a $10
million loan to increase access to housing finance and support Armenia’s
first energy-efficiency lending packages offered by a local bank. Byblos
Bank Armenia will design its energy-efficiency products with advisory support
from IFC’s Armenia Sustainable Energy Finance Project.
“By promoting energy efficiency and
energy-efficient lending products, we can help homeowners in Armenia reduce
their annual energy bills, lead more environmentally-friendly lifestyles,
and improve the comfort and safety of their homes,” said Ararat Ghukasyan,
Chief Executive Officer of Byblos Bank Armenia. “This is the first
funding of this nature in Armenia and shows that energy efficiency is important
to both Byblos Bank Armenia and our clients.”
Tomasz Telma, IFC Director for Europe
and Central Asia, said, “Our strategy in Armenia is to increase access
to finance, including energy-efficiency finance, and to encourage sustainable
economic growth, support job creation, and diversify the country’s economic
base. By working with financial intermediaries such as Byblos Bank Armenia,
we can achieve significant development impact in a country that relies
heavily on energy imports."
IFC will provide training for Byblos
Bank Armenia credit officers and risk specialists on assessing risks and
processing energy-efficiency loan applications. Armenia, a country with
few fossil fuel resources, has strong demand for energy efficiency because
of the high cost of energy.
Since Armenia became a member of IFC
in 1995, IFC has invested $202 million in 35 projects across several
industries, including financial markets, manufacturing, and mining. IFC
Advisory Services also provides advice through projects focusing on the
financial sector, sustainable energy, and regulatory simplification. IFC’s
Armenia Sustainable Energy Finance Project is being implemented in partnership
with the Austrian Ministry of Finance.
IFC, a member of the World Bank Group,
is the largest global development institution focused exclusively on the
private sector. We help developing countries achieve sustainable growth
by financing investment, providing advisory services to businesses and
governments, and mobilizing capital in the international financial markets.
In fiscal 2011, amid economic uncertainty across the globe, we helped our
clients create jobs, strengthen environmental performance, and contribute
to their local communities—all while driving our investments to an all-time
high of nearly $19 billion. For more information, visit www.ifc.org.
About Byblos Bank Armenia
Byblos Bank Armenia is an independent
subsidiary of Byblos Bank, a universal bank headquartered in Lebanon and
operating in 12 countries across Europe, the Middle East, and Africa. Byblos
Bank Lebanon has been an IFC client since 1993 and IFC currently holds
an 8.4 percent equity stake in the company. Since 2007, Byblos Bank
Armenia has provided services and products in consumer, commercial, and
correspondent banking, as well as in treasury and capital markets. It aims
to fulfill the financial needs of Armenian nationals and the Armenian diaspora
in the USA, Europe, Lebanon, Syria, and other parts of the world. For more
information about Byblos Bank Armenia, visit www.byblosbankarmenia.am
For information about the Austrian
Ministry of Finance, visit http://english.bmf.gv.at.