Abstract
AbstractThis article discusses the role of credit insurance in Armenia as an important mechanism for promoting export diversification, growth and sustainable development. The authors show that a market gap in demand for export financing, as compared with existing supply, is mainly attributed to the use of two‐factor models by commercial banks, limited product knowledge, and increased risk of cross‐border trade transactions. The authors analyse the key drivers for export financing and export insurance, showing the immediate impact the Armenian export credit agency has achieved over the past two years, and argue its defining role for the development of value chains over the medium and long term.
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