The EE/RE loan is our way of supporting the efforts of Armenian MSMEs to develop environmentally friendly and socially responsible businesses. Because these investments are not only aimed at business development, but also address the environmental problems we face today, EE/RE loans are offered at preferential conditions by the partner financial institutions (PFIs).
The PFIs are responsible for the financial analysis and the final decision vis-à-vis the disbursement of EE/RE loans. You can apply for an EE/RE loan directly from the participating institutions in the “GAF Energy Efficiency Programme for MSMEs”. Please see the PFIs’ websites for further information on how to apply for EE/RE financing.
Terms and conditions:
|Loan purpose||EE/RE investments (fixed assets) in accordance with the so-called 70/30 rule|
|EE/RE loan amount||AMD 1m - 500m|
|Loan maturity||≤ 60 months|
|Interest rate||defined by PFIs|
|Collateral requirements||defined by PFIs|
At least 70% of the EE/RE loan amount must be used to purchase machinery, equipment, or other goods and products, including services and other incidental expenses related to the planned EE/RE investment. Eligible incidental services and other incidental expenses may be summarised as follows:
- Installation costs (including preparation costs)
- Costs for necessary additional equipment directly linked to the investment
- Costs for technical feasibility checks
- Labour costs directly linked to the investment
Up to a maximum of 30% of the EE/RE loan amount may be spent on other fixed asset purposes.