Yerevan, January 26, /ARKA/. IFC, a member of the World Bank Group, said in a statement it is helping Armenian INECOBANK expand its microfinance capacity to increase access to microfinance for small entrepreneurs and low-income individuals, mostly in Armenia’s rural areas, promoting growth and sustainable development.

In cooperation with IFC, INECOBANK is expected to strengthen its capacity to reach Armenia’s people, most of whom have limited access to microfinance. IFC has introduced an innovative form of support, performance-based grants structured in tranches, whereby clients are rewarded for achieving development targets. Through a gradual, step-by-step process, IFC will release up to $700,000 of performance-based grants for the bank, making more than 71,000 new micro loans to individuals and small entrepreneurs, mostly in rural areas of Armenia.

“With the onset of the financial crisis, microfinance proved to be one of the most sustainable products for the bank and one of its strategic sector priorities,” said Avetis Baloyan, INECOBANK’s CEO. “Through participation in the IFC’s Microfinance Initiative, we are planning to significantly increase our microfinance sector penetration and reach out to the underserved markets.”

Categories: Banks @en, General news, News | Comments Off on IFC helps increase microfinance access for small businesses in Armenia’s rural areas

Tags: Armenia, IFC, Inecobank, World Bank Group

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