Armenia

There are no formal restrictions on cover.

Cover of major transactions with private buyers will be provided only if they are particularly deserving of promotion. For transactions with public buyers cover facilities are available on a case-by-case basis. In addition, cover is available for project finance and other structured finance deals, where necessary based on countertrade transactions.

As a rule, a guarantee from the Ministry of Finance or the central bank is required for transactions with public buyers. For public buyers which are established as private sector organizations the same collateral requirements as for private buyers apply.

For short-term transactions with private buyers bank security is always required. This requirement may be waived if the buyer is an affiliated company or if the buyer belongs to an international group the creditworthiness of which is beyond doubt or if sufficient information material on the debtor is available which, subject to the application of strict criteria, justifies the granting of cover without collateral.

The assessment of a bank for acceptance as a guarantor or borrower is carried out case by case on the basis of informative documents and taking into account the risk involved.

Country information on commercial practices, business climate, market analyses, law, import procedures, customs duties and international projects and tenders can be found on the website of Germany Trade & Invest (gtai, https://www.gtai.de).