Farm Credit Armenia Credit Cooperative (FCA) and Agence Francaise de Developpement (AFD), represented by its subsidiary PROPARCO, are supporting armenian farmers.
AFD Group is supporting the development of FCA, the only credit cooperative in Armenia,via a subordinated loan in Armenian dram for an amount equivalent to EUR 1.5 million with a 6-year maturity. FCA is the first credit organization in Armenia to raise this type of subordinated financing with an international institutional investor. The cooperation has also technical assistance component, which will promote the cooperative to a new level of development. AFD’s financing will allow FCA to strengthen its equity and expand its range of agricultural loans. FCA's sustainable development strategy and responsible lending policy have been the basis for the trust to conclude the project. It has not been hindered by the global health crisis we are currently experiencing.
FCA is the only cooperative credit structure operating in the Republic of Armenia, which functions only in the regions of the country, providing loans exclusively to the real sector of the economy. From the very beginning, FCA has adopted the corporate governance principles, and with its mission contributes to the development of cooperative culture. The cooperative was founded in 2007 by 57 farmers and now has about 9,000 members. The total capital of the credit cooperative is about 2 billion AMD, and the loan portfolio is about 13 billion AMD.
The Agence Francaise de Developpement (AFD) group is a public establishment, which implements France's policy in terms of development and international solidarity. It implements thousands of projects with high social and environmental impact in the French Overseas Territories and 115 countries worldwide. Proparco is the private sector financing arm of AFD: financing and support for projects led by companies and financial institutions in developing and emerging countries – from SMEs to regional banking groups, including microfinance institutions.