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Resilience Framework: ACBA bank



Project number:


Business sector:

Financial institutions

Notice type:


Environmental category:


Approval date:

05 May 2020



PSD disclosed:

23 Jul 2020

As permitted by paragraph 2.6 of Section III of the Access to Information Policy, disclosure of this PSD was deferred in accordance with paragraph 1.4.4 of the Directive on Access to Information.

Project Description

Provision of a senior unsecured loan to ACBA bank of up to USD 20 million under the Bank's Resilience Framework (RF). The loan proceeds will used for on-lending to MSMEs and larger companies in line with the Policy Statement of the Resilience Framework.

Similar to many countries, the coronavrius pandemic and efforts to contain it are having a major negative impact on economic activity in Armenia. Against this backdrop, liquidity support to the private sector is pivotal to the country's ability to weather the economic downturn, reduce its vulnerability to internal and external factors and achieve quicker recovery.

With the banking sector accounting for 90% of total financial intermediation in the country, bank loans are the main source of finance for the private sector. However, supply of commercial credit has almost ceased as the banks have shifted their focus on further strengthening their balance sheet buffers.

Project Objectives

The proceeds of the Bank's investment will be used to on-lend to private MSMEs and corporates clients in the Covid-19 environment, supporting their funding needs and resilience. EBRD will not only provide funding to ACBA bank, but also provide comfort to other lenders and potentially facilitate attraction of more funding from them by ACBA bank.

Transition Impact

ETI score: 70

Resilient: The project will contribute to the financial resilence of ACBA bank by enabling it to continue lending operations despite balance sheet pressures triggered by the economic fallout from the pandemic.

Competitive: The project will help ACBA bank retain its strong position in the market by remaining active and efficient market player through sustained lending operations.

Client Information


ACBA bank is a long-standing partner bank of EBRD since the first engagement in 2003 and one of the leading banks in Armenia. It is the 4th largest bank in Armenia in terms of total assets with a dominant position in lending to agriculture and MSMEs in rural areas in particular. Its extensive network of 60 branches in all regions of Armenia allows it to reach out to many potential clients country-wide.

The bank belongs to the local shareholder ACBA Federation CJSC (non-profit organization, which consolidates 10 Agri union in Armenia), which currently owns 95% of shares, while Credit Agricole owns the remaining 5%.

EBRD Finance Summary

USD 20,000,000.00

A senior unsecured loan in the amount of up to USD 20 million equivalent under the Resilience Framework. The loan will be repaid within 2 years through equal semi-annual instalments commencing after a grace period of one year.

Total Project Cost

USD 20,000,000.00


COVID-19 crisis response: EBRD offers financing in the environment when most of commercial international lenders are scaling back their exposure to developing countries and reluctant to provide new financing even to good clients.

Environmental and Social Summary

Categorised FI (ESP 2019): ACBA bank will be required to continue to comply with PRs 2, 4 & 9, implement the applicable environmental and social procedures and submit annual ennvironmental and social reports to the Bank.

Technical Cooperation and Grant Financing

Not applicable. 

Company Contact Information

Anzhelika Baghramyan
+ 374 10 31 8888
82-84 Aram str. 0002 Yerevan Republic of Armenia

PSD last updated

23 Jul 2020

Understanding Transition

Further information regarding the EBRD’s approach to measuring transition impact is available here.

Business opportunities

For business opportunities or procurement, contact the client company.

For business opportunities with EBRD (not related to procurement) contact:

Tel: +44 20 7338 7168

For state-sector projects, visit EBRD Procurement:

Tel: +44 20 7338 6794

General enquiries

Specific enquiries can be made using the EBRD Enquiries form.

Environmental and Social Policy (ESP)

The ESP and the associated Performance Requirements (PRs) set out the ways in which the EBRD implements its commitment to promoting “environmentally sound and sustainable development”.  The ESP and the PRs include specific provisions for clients to comply with the applicable requirements of national laws on public information and consultation as well as to establish a grievance mechanism to receive and facilitate resolution of stakeholders’ concerns and grievances, in particular, about environmental and social performance of the client and the project. Proportionate to the nature and scale of a project’s environmental and social risks and impacts, the EBRD additionally requires its clients to disclose information, as appropriate, about the risks and impacts arising from projects or to undertake meaningful consultation with stakeholders and consider and respond to their feedback.

More information on the EBRD’s practices in this regard is set out in the ESP.

Integrity and Compliance

The EBRD's Office of the Chief Compliance Officer (OCCO) promotes good governance and ensures that the highest standards of integrity are applied to all activities of the Bank in accordance with international best practice. Integrity due diligence is conducted on all Bank clients to ensure that projects do not present unacceptable integrity or reputational risks to the Bank. The Bank believes that identifying and resolving issues at the project assessment approval stages is the most effective means of ensuring the integrity of Bank transactions. OCCO plays a key role in these protective efforts, and also helps to monitor integrity risks in projects post-investment.

OCCO is also responsible for investigating allegations of fraud, corruption and misconduct in EBRD-financed projects. Anyone, both within or outside the Bank, who suspects fraud or corruption should submit a written report to the Chief Compliance Officer by email to All matters reported will be handled by OCCO for follow-up. All reports, including anonymous ones, will be reviewed. Reports can be made in any language of the Bank or of the Bank's countries of operation. The information provided must be made in good faith.

Access to Information Policy (AIP)

The AIP sets out how the EBRD discloses information and consults with its stakeholders so as to promote better awareness and understanding of its strategies, policies and operations following its entry into force on 1 January 2020. Please visit the Access to Information Policy page to find out what information is available from the EBRD website.

Specific requests for information can be made using the EBRD Enquiries form.

Independent Project Accountability Mechanism (IPAM)

If efforts to address environmental, social or public disclosure concerns with the Client or the Bank are unsuccessful (e.g. through the Client’s Project-level grievance mechanism or through direct engagement with Bank management), individuals and organisations may seek to address their concerns through the EBRD’s Independent Project Accountability Mechanism (IPAM).

IPAM independently reviews Project issues that are believed to have caused (or to be likely to cause) harm. The purpose of the Mechanism is: to support dialogue between Project stakeholders to resolve environmental, social and public disclosure issues; to determine whether the Bank has complied with its Environmental and Social Policy or Project-specific provisions of its Access to Information Policy; and where applicable, to address any existing non-compliance with these policies, while preventing future non-compliance by the Bank.

Please visit the Independent Project Accountability Mechanism webpage to find out more about IPAM and its mandate; how to submit a Request for review; or contact IPAM  via email to get guidance and more information on IPAM and how to submit a request.


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