Loans, Renewable Energy and Energy Saving Program

Currency

AMD

Borrowers

• RA resident legal entities and individual entrepreneurs
• Analysis of financial statement of the borrower should be in line with the Bank’s requirements

Purpose

In non-gasified and gasified communities:

• renewable energy equipment
• energy saving measures
• acquisition, re-equipment of energy-saving equipment

Limits

• With pledge: AMD 3,000,001-50,000,000 or equivalent foreign currency
• Without pledge: (minimum 2 guarantees provided by physical individual or legal entity) AMD 1,000,000-3,000,000 or equivalent foreign currency

Provision  method

Non-cash

Repayment period

Up to 96 months

Annual nominal interest rate

AMD - 12%
USD - 8%

Pledge

• Movable and immovable property
• Monetary funds available on deposit or current accounts
• Standard gold bars or scrap
• Short term bonds issued by the government or other securities
• If needed, along with other pledge the equipments to be purchases within the framework of the program can also be pledged
• Additional condition - Personal guarantee provided by business founders/beneficiary owners is mandatory. Meanwhile, as additional security the Bank can also request other guarantee provided by physical individual and/or legal entity

Acceptable loan to value ratio

• For immovable property and other fixed assets: up to 70% of the property value
• For short term bonds issued by the government: up to 95% of the nominal price
• For other securities: up to 70% of the evaluated price
• For standard gold bars and scrap of precious metals: up to 95% of the value
• Monetary funds (in case of deposit and current account): up to 90%
• For equipment to be purchased: up to 50% of the evaluated price

Insurance

Upon need

Loan early repayment penalty

No penalty is applied

Penalty for loan principal and/or interest overdue

• For overdue principal - 0,015 % daily
• For overdue interest - 0.1% daily

Loan repayment method

Annuity

Requirements for the guarantors

• RA resident legal entity, individual entrepreneur or physical individual
• No overdue liabilities (including for the guarantees provided)
• No any classification of credit facilities for the last 12 months, and the sum of total overdue days should not exceed 30 days 

Fees

Not applicable

State duties and other fees

• State duties paid to the RA government: are paid for ratification and registration of the pledge agreement
• Valuation fee for pledged securities: according to the tariffs defined by the independent valuating companies

Additional terms

In case of refinancing of loans provided to legal entities and individual entrepreneurs, 20% co-financing is done