As part of its participation in the COP17 conference, Armeconombank hosted a panel discussion titled "Green Finance for Nature: From Commitment to Action." The initiative aimed to address -from the perspectives of the government, the business sector, international institutions, and the expert community - the crucial role played by the financial system in transforming ideas into tangible and sustainable impact.
Sustainable Development: A Cornerstone of Business Strategy
Opening the panel discussion, Anna Yeghoyan, Head of the Environmental and Social Risk Management Department at Armeconombank, emphasized that for the Bank, sustainable development and green finance are not merely social responsibility, but a core pillar of its business strategy:
"For years, we have actively financed energy efficiency, renewable energy, and the 'green' modernization of SMEs, driven by the conviction that the banking sector must be more than just a provider of capital - it must serve as a bridge connecting state policy, international green flows, technological innovation, and the real economy."
Mitigating Environmental Risks: The Key to Project Success
Addressing the role of green finance in overall economic development, panel speaker Ira Panosyan, Head of the Agricultural Project Design Department at the Ministry of Economy of Armenia, highlighted that reducing environmental risks is vital to the effective execution of any project:
"Sustainable development is one of the key directions of Armenia's economy. The application of green financing tools is of paramount importance, particularly in agriculture. This is why the focus is placed on state subsidy programs, attracting international capital to the Armenian market, and taking actions aimed at enhancing climate adaptation and resilience."
Long-Term Environmental Goals: A Green Finance Priority
According to Satenik Ghevondyan, Acting Director of the German-Armenian Fund, financing approaches need to be re-evaluated to prioritize long-term environmental objectives:
"From this perspective, strengthening the capacity for environmental risk assessment within financial institutions is of primary importance. It is crucial to understand how environmental risks can transform into financial risks. Another key factor is the application of risk-sharing mechanisms paired with blended finance instruments. Finally, establishing unified green finance standards is critical, as it will inevitably contribute to the long-term sustainable growth of the economy."
Raising Investor Eco-Awareness: The Pathway to Green Project Success
Speaking about the interest of private investors in green initiatives, Samson Avetyan, CEO of "Equify AM" CJSC and investment expert, noted that while profitability remains the top priority for the vast majority of local investors, financial returns cannot be the sole metric of evaluation:
"The long-term impact of projects on Armenia's productivity and economic prospects is an equally important factor. To promote these projects, several measures can be implemented - such as direct investor subsidies and raising awareness among investors regarding the importance of green technologies. This will certainly have a positive influence on investor behavior."
Alternative Financing: The Driving Force Behind Deep Tech Green Projects
Shant Khayalian, Founder and Director of BeeSync, touched upon the collaboration between commercial banks and startups generating long-term environmental impact. He emphasized that research and development in Deep Tech can span years without yielding immediate revenue, presenting a significant obstacle to securing traditional financing:
"That is why, worldwide, preference is increasingly given to phased financing. It is vital to recognize that technological advancement is essential for Armenia's long-term sustainable development."
In conclusion, the panelists agreed that building a green economy and overcoming environmental challenges can only be achieved through the combined efforts of all key stakeholders.
Reaffirming its commitment to the sustainable development agenda, Armeconombank continues to be a reliable partner in bringing green projects to life and fostering a resilient economy.
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Armeconombank is supervised by the Central Bank of Armenia.