Renewable Energy Promotion Loan

Loan (non-revolving credit line)

RA resident legal entity , individual entrepreneur

Implementation of projects for the construction, reconstruction, and expansion of renewable energy power plants:
• FV-150 Solar power plants with a capacity of up to and including 150 kW
• FV-500 Licensed solar power plants with a capacity exceeding 150 kW and up to 500 kW, generating electricity for self-consumption
• FV-1050 Solar power plants with a capacity of up to 1050 kW, generating electricity for an autonomous group

• FV-L Solar power plants with a capacity of up to 5 MW, licensed by the Public Services Regulatory Commission (PSRC)
• Other plants: Power plants constructed based on other renewable energy sources (wind, biomass, geothermal plants, etc.)
• BESS: Battery Energy Storage System projects

Loan (non-revolving credit line)

AMD
For FV-L projects only—loans for power plants with a capacity of up to 5 MW may also be provided in US Dollars and Euros.

• FV-150 minimum – 500,000 AMD, maximum – 80,000,000 AMD
• FV-500 minimum – 10,000,000 AMD, maximum – 200,000,000 AMD
• FV-1050 minimum – 10,000,000 AMD, maximum – the permissible limit established by the Bank's internal legal acts regarding the maximum risk exposure per single borrower
• FV-L minimum – 70,000,000 AMD or 180,000 USD (EUR), maximum – the permissible limit established by the Bank's internal legal acts regarding the maximum risk exposure per single borrower

• Other stations minimum – 1,000,000 AMD; maximum – the permissible limit established by the Bank’s internal regulations regarding the maximum risk exposure per single borrower.
• BESS minimum – 500,000 AMD; maximum – the permissible limit established by the Bank’s internal regulations regarding the maximum risk exposure per single borrower.

! A loan of up to 5,000,000 AMD may be granted to a start-up business (a business is considered a start-up if the potential borrower has not operated any business during the preceding 6 (six) months).

• FV-150 500,000 – 10,000,000 AMD: 9.5%; 10,000,001 – 80,000,000 AMD: 9.5%
• FV-500 9.0%
• FV-1050 9.0%
• FV-L AMD 9.0%; USD (EUR): 5.35%
• Other stations 1,000,000 – 10,000,000 AMD: 9.0%; 10,000,001 AMD – up to the permissible limit defined by the Bank's internal legal acts regarding the maximum risk exposure per single borrower: 9.0%
• BESS 500,000 – 10,000,000 AMD: 9.0%; 10,000,001 AMD – up to the permissible limit defined by the Bank's internal legal acts regarding the maximum risk exposure per single borrower: 9.0%

• FV-150 500,000 – 10,000,000 AMD: 9.9%; 10,000,001 – 80,000,000 AMD: 9.9–10.0%
• FV-500 9.4–9.5%
• FV-1050 9.4–9.5%
• FV-L AMD: 9.4%; USD (EUR): 5.5%
• Other stations 1,000,000 – 10,000,000 AMD: 9.4%; 10,000,001 AMD up to the permissible limit defined by the Bank's internal legal acts regarding the maximum risk exposure per single borrower: 9.4–9.5%
• BESS 500,000 – 10,000,000 AMD: 9.4%; 10,000,001 AMD up to the permissible limit defined by the Bank's internal legal acts regarding the maximum risk exposure per single borrower: 9.4–9.5%

In case of non-target use of loan funds by the Borrower, significant deviations from the project, failure to comply with the conditions set by the Program, as well as failure to meet the environmental and social requirements of the GAF (Appendix 1), the Bank has the right to unilaterally increase the loan interest rate or demand full or partial early repayment of the loan.

In case of non-qualification of the loan by the GAF or termination of the qualification of the provided loan, the loan is considered to be provided with the Bank's own resources, after which the loan continues to operate in the Bank at the current annual interest rate in accordance with the contractual term of the loan provided with the Bank's own resources within the framework of the "Commercial Loans" loan type.

0.5%

120 months

0 - 24 months

The loan amount (credit line limit) may constitute up to the following percentage of the project cost:
• FV-150 100%
• FV-500 80%
• FV-1050 80%
• FV-L 80%
• Other plants 80%
• BESS 100%

Credit history
- No loan classification and/or the total number of days of overdue obligations must not exceed 30 days over the last 12 months.
- No current overdue obligations.

Age of the Borrower (Individual Entrepreneur): 18–65 years old.

Annuity (equal monthly payment of principal and interest)
Equal monthly payment of the differentiated/principal amount and interest/
Individual repayment schedule

Repayment method of the client's choice

None

0.1% daily

0.13% daily

In case of early repayment of the loan, a penalty of 5% of the amount repaid early is applied.

Applicable to loans with a contractual amount of AMD 5,000,001 and more.

In case the loan interest rates are subsidized within the framework of the “Targeted Program for Promoting Productivity” (Appendix 1) approved by the RA Government Resolution No. 355-L dated March 26, 2020 “On Approval of Targeted Programs for Modernizing the Economy”, no early repayment penalty is applied.

1.    Real estate and/or
2.    Guarantee/s.
•    In the case of clients who are legal entities, personal guarantees of the founders of the business and the beneficial owners,
•    In the case of individual entrepreneurs, if the beneficial owner is a third party, the guarantee of the beneficial owner.
3.    Movable property.

Other security measures may also be provided by the decision of the Credit Committee.
In the case of a vehicle pledge, the production period cannot exceed:
✓For Russian-made cars - 5 years,
✓    For foreign-made cars - 10 years.

✓    For the projects listed below, loans within the specified amount are provided only with guarantee(s) acceptable to the Bank.
-    FV-150: 500,000 – 10,000,000 AMD
-    Other stations: 1,000,000 – 10,000,000 AMD
-    BESS: 500,000 – 10,000,000 AMD

✓ Moreover, loansup to 3,000,000 AMD can be provided with 1 guarantee, and loans in the amount of 3,000,001-10,000,000 AMD can be provided with 2 guarantees.

According to Appendix 6

The collateral is subject to valuation by an independent property valuation agency partnering with the Bank and/or by a Bank employee, depending on the loan amount.
Valuation performed by a Bank employee is free of charge.

The collateral is subject to valuation by an independent appraisal agency cooperating with the Bank and/or by a Bank employee, depending on the loan amount.
Valuation conducted by a Bank employee is provided free of charge.

Credit history:

1. No delinquency and/or total number of days overdue for the last 12 months shall not exceed 30 days.

2. No current overdue liabilities.

Age of the borrower who is a private entrepreneur: 18-65 years.

Decision on the loan application within up to 7 working days after submission of the required documents.

Up to 1 working day after the decision is made

After submitting all required documents and completing the state registration of the lien—up to 1 working day.

30 working days
However, the Bank reserves the right to refuse the granting of the loan if any of the conditions deemed essential for the positive decision to grant the loan have changed.