The International Finance Corporation (IFC) is anchoring a landmark $75 million sustainability-linked bond issuance by Team Telecom Armenia, with a $13.5 million investment to support the country's digital infrastructure. The project marks Armenia's first sustainability-linked bond and aims to enhance mobile and fixed internet services, particularly in underserved rural areas. The bond issuance, arranged by Ameriabank and listed on the Armenia Stock Exchange, will help finance critical expansion efforts, including the rollout of 4G+ and fibre-to-the-home networks. Team Telecom Armenia plans to extend coverage to 300,000 new mobile data customers and connect 90,000 homes to high-speed internet by 2029. The expansion is expected to increase 4G+ coverage in rural areas from 74 per cent to 96 per cent and fibre-to-the-home penetration from 14 per cent to 35 per cent. The bonds include a sustainability-linked structure, incentivising the company to reduce its greenhouse gas emissions by 20 per cent by 2027 and 40 per cent by 2029, compared to its 2023 baseline. IFC is also supporting gender equality initiatives within the company. IFC's investment reflects its ongoing partnership with Team Telecom Armenia, which began in 2022, and aligns with the World Bank Group's strategic priorities in Armenia, focused on enhancing infrastructure and supporting the country's information and communications technology sector. Attribution: IFC Subediting: M. S. Salama
