Armenian Parliament considers transforming EFSD into independent structure

YEREVAN, 25 November. /ARKA/. The Armenian parliament committee on financial and budgetary affairs has considered the issue of transforming the Eurasian Fund for Stabilisation and Development (EFSD) into a fully independent international organisation.

Deputy Finance Minister Eduard Hakobyan recalled that initially the EFSD was established as the Anti-Crisis Fund of the Eurasian Development Bank (EDB), but later its activities were revised. Thus, the EDB is engaged largely in financing private projects, while the EFSD in ensuring the financial stability of the region.

The total investments in the charter capital of the fund stands at $8.513bn, of which $1m is Armenia's share, while EFSD’s loan portfolio in Armenia makes $840m, of which $540m is allocated for 10 projects being implemented.

In particular, a $300 million loan has been allocated to support the state budget, and another $100 million will be allocated additionally. Besides, about $150 million loan has been allocated for the construction of the southern section of the North-South transport corridor.

Also, $200 million will be provided for the construction of the Kajaran Tunnel and $40 million for the modernisation of the country's irrigation systems. Armenia's application for the construction of a water reservoir on the Mastara River will be considered in the near future.

The Eurasian Fund for Stabilisation and Development (EFSD) implements more than 10 projects in Armenia in such areas as agriculture and water management, road construction and healthcare, energy and state budget support (some of them are co-financed by the government and other international organisations). The total portfolio of the Fund's projects in Armenia stands now at $840 million.

The Republic of Armenia is one of the founding members of the EFSD.-0-