Social impact bonds to improve lives of farmers in Armenia
February 4, 2021

Social impact bonds to improve lives of farmers in Armenia

Improving the lives of smallholder farmers in the Shirak region of north-western Armenia is the goal of a pilot programme announced on 4 February by the European Bank for Reconstruction and Development (EBRD) and the United Nations Development Programme (UNDP).

The two institutions signed a letter of intent to structure a social impact bond, an innovative financing tool linking financial success to the delivery of measured social outcomes. Social bonds provide investment to address social problems by funding preventive measures. When the social outcomes improve, investors are repaid their initial investment plus a return for the financial risk that they took.

This will be the first social impact bond introduced in Armenia and it will be dedicated to supporting the development of the local agribusiness sector.

The EBRD is the leading institutional investor in Armenia. Since the start of its operations in the country in 1992, the Bank has invested €1.47 billion in 187 projects there, in the financial, corporate, infrastructure and energy sectors, with 91 per cent of those investments in the private sector.

Find out more

Press release


Interested in the latest news and opportunities?

This website is managed by the EU-funded Regional Communication Programme for the Eastern Neighbourhood ('EU NEIGHBOURS east’), which complements and supports the communication of the Delegations of the European Union in the Eastern partner countries, and works under the guidance of the European Commission’s Directorate-General for Neighbourhood Policy and Enlargement Negotiations, and the European External Action Service. EU NEIGHBOURS east is implemented by a GOPA PACE-led consortium. It is part of the larger Neighbourhood Communication Programme (2020-2024) for the EU's Eastern and Southern Neighbourhood, which also includes 'EU NEIGHBOURS south’ project that runs the EU Neighbours portal.

The information on this site is subject to a Disclaimer and Protection of personal data. © European Union,