Loan under the Productivity Promotion Program (valid until 31.12.2026)

1. 

Currency

AMD, USD or Euro

2.     

Leaseholders

RA resident legal entities and sole proprietors

3.    

Purpose

Purchase or import of brand-new (unused) equipment and machinery to be used in  Armenia

4.   

Subsidized sectors

• Processing industry
• Mining and operation of open-pit mines
• Information and communication
• Construction
• Transportation and warehousing
• Professional, scientific and technical activities
• Education
• Health and social services
• Electricity, gas, steam, air conditioning supply
• Car maintenance and repair
• Accommodations (except the entities operating in the Yerevan administrative region)
• Organization of creative, artistic and presentation activities

5.    

Maximum amount

AMD 1 billion or a foreign currency equivalent (if the entity has invested at least AMD 200 million in its charter capital since 2021, the maximum amount will equal the five-fold investment in the charter capital, but not more than AMD 10 billion, if the lease is in foreign currency – AMD 5 billion in foreign currency equivalent).

Business-process digitalization software and production consultancy - AMD 400 million or foreign currency equivalent (at exchange rate effective as of the day of signing the agreement).

6.    

Down payment

Interest will be accrued on the positive difference between the funds paid by financial entities for the leased asset (if in foreign currency – equivalent amount in AMD) and the down payment made by the leaseholder starting  from the day of payment of the above amounts  till the day of  signing the delivery-acceptance certificate; the interest cannot exceed the annual rate set under the lease agreement.

7.    

Repayment period

Up to 120 months

8.   

Subsidy period

Up to 42 months 

The down payment will be subsidized in a lump-sum upon signing of the delivery-acceptance certificate for the equipment and its accessories in line with the procedure prescribed by the program. Supply stage will be subsidized for up to 180 days starting the day of signing the lease agreement, while the responsibility for payment of interest for a period above the 180 days will rest upon the Leaseholder.

9.  

Repayment method

• «Annuity» scheme
• «Flexible» scheme
• Based on the contract

10.   

Grace period

Principal grace period – up to 6 months

11.   

Annual interest rate

Actual interest rate determined by the Bank's fees

Subsidy:

• For AMD - 10%,
• For foreign currency - 8%

12.   

Penalty charged for late payments of principal and interest on the lease

• For past due principal  - 0.015% per day
• For past due interest - 0.1% per day

13.   

Penalty of prepayment

N/A

14.   

Other service fees

N/A