The EBRD is lending US$ 3.5 million to Saranist, an Armenian producer of glass bottles and jars, to help the company increase its production capacity.
The proceeds of the loan will fund the construction of a new furnace and glass manufacturing line. This will allow the company to increase production volumes, thereby helping to satisfy rising demand in the Armenian and Georgian markets and offering an alternative to more expensive imported glass products.
The newly combined energy efficient furnace will also improve the quality of the merchandise while reducing production waste.
“Supporting private businesses is one of the EBRD’s key priorities in Armenia. It’s the Bank’s second cooperation with Saranist. We are pleased to help the company in its drive to expand the range of its high quality products by meeting the increased demand and largely substituting the import markets for the region,” said Gilles Mettetal, EBRD Director for Agribusiness.
Founded in 1989, Saranist has since become one of the leading domestic flint and coloured glass manufacturers in Armenia. It produces a variety of clear and coloured glass jars and bottles which are both sold domestically and exported to Georgia.
The EBRD is one of the largest investors in Armenia. Since the beginning of its operations there in 1992, the EBRD has invested over €400 million in 100 projects in the country’s financial, corporate, energy and infrastructure sectors, with 92 per cent of projects being investments in the development of the private sector.