YEREVAN. - In 2016, Inecobank plans to expand the scope of consumption loans. Inecobank’s CEO Taron Ganjalyan told the aforementioned to Armenian News – NEWS.am.
The provision of loans to the natural persons was traditionally developed by the bank, while the Small and Medium Enterprises (SME) loan portfolio will significantly increase as a result of ProCredit Bank acquisition. According to the CEO, if the correlation of SME-individuals loan portfolios currently makes up about 55-45%, it will constitute nearly 70-30% after the transaction.
“For this very reason, we envisage growth in the direction of natural persons in next-year plans so that we can keep the balances at the previous level. In fact, we mainly envisage dram loans. It’s our policy, and we can even say, desire that the loans in national currency increase in Armenia,” Ganjalyan said.
Inecobank has today announced buying 100% of the shares of ProCredit Bank (Armenian subsidiary of German ProCredit Holding AG). To complete the deal, the bank attracted funds from the International Finance Corporation (IFC), which extended a loan of $20 mln, and the European bank of Reconstruction and Development (EBRD), which made an equity investment of 9,8 bln AMD (around $20,2 mln at present rate), becoming a stockholder of 22,7%.
