The European Bank for Reconstruction and Development (EBRD) is supporting Azerbaijan’s agribusiness sector by investing in the green expansion of agricultural producer H&M Agro. The senior secured loan, equivalent to US$ 2 million in local currency, will help the company to expand its hydroponic greenhouses, EBRD told APA.
The funds will be used to install efficient and environmentally friendly greenhouses in Salyan city, which will help H&M Agro to achieve higher yields and protect the environment through the efficient use of land, water and fertilisers. This will boost H&M Agro’s competitiveness, enabling it to diversify its customer base internationally.
The European Union (EU), under its EU4Climate initiative, will complement the loan with grant support of up to 13 per cent of eligible costs through the EBRD’s Finance and Technology Transfer Centre for Climate Change (FINTECC).
‘’Together with our partners, we are pleased to boost sustainable farming methods in Azerbaijan and support agricultural producer H&M Agro with its expansion plans,’’ said Catarina Bjorlin Hansen, EBRD Director, Regional Head of the Caucasus. ’’This investment will allow the company achieve higher agricultural productivity to meet the growing demand, increase its competitiveness on the international markets while at the same time will result in more efficient use of resources. ‘’
“This financing to H&M Agro is a practical example of how the Economic and Investment Plan can help Azerbaijani businesses expand their activity, reach new markets while reducing their energy footprint. The EU and the EBRD will continue to work together to deliver on our joint ambition to diversify the economy and create more jobs in Azerbaijan” said Lawrence Meredith, Director for the Eastern Neighbourhood in the European Commission.