Armenian government’s 25th anti-crisis program targets transport companies and travel agencies

YEREVAN, September 24. /ARKA/. The Armenian government has approved the 25th event to neutralize the economic consequences of the coronavirus, the goal of which is to support transport companies serving the tourism sector, the press service of the Armenian economy ministry reported on Thursday.  

Under the program, these transport companies will receive compensation for 75% of the interest unpaid since April 1, 2020, which will help them fulfill their loan obligations and protect the property pledged in exchange for a loan. 

The beneficiaries of this program developed by the economy ministry are economic entities, but not microbusiness entities, that meet the following conditions:

• established before January 1, 2019,
• did not apply for participation in the 23rd anti-crisis program,
• at least 50% of their sales turnover in 2019 was formed as a result of non-cash payments to the following customers:
   - travel agencies and operators, seat reservations and business entities providing other services in the field of tourism,
   - business entities organizing accommodation as well as citizens and organizations making payments from accounts in a foreign bank.
• a good credit history; according to the credit bureau ACRA, in 2019 they had no loan obligations overdue by 30 days or more,
• submitted written confirmation from a bank or credit institution that the loan was issued before March 31, 2020 inclusive for the purpose of purchasing a vehicle;
• submitted written confirmation from a bank or credit institution that if the entity is recognized as beneficiary of the assistance, the repayment of the key loan amount will be postponed at least until April 2021.

The ministry of economy noted that compensation is provided until March 2021 inclusive. Business entities can familiarize themselves with the list of required documents and fill out an application on the ministry's website.

Assistance programs

As of September 10, 2020, the Armenian government has spent 163.4 billion drams (almost $ 335 million) on 24 programs to overcome the social and economic consequences of the coronavirus. Some of these programs relate to economic support for businesses (agriculture, tourism, SMEs, microbusiness, IT and other industries), others are aimed at social support of various groups of the population.Another program targets the environment protection. –0--