Eurasian fund for stabilization and development to provide Armenia with $300 million loan
05.11.2015,
17:27
The Armenian government on Thursday approved a $300 million loan agreement with the Eurasian Fund for Stabilization and Development of the Eurasian Development Bank.
YEREVAN, November 5. / ARKA /. The Armenian government on Thursday approved a $300 million loan agreement with the Eurasian Fund for Stabilization and Development of the Eurasian Development Bank.
According to finance minister Gagik Khachatryan, the $300 million loan, repayable in 20 years, will be provided with a 10-year grace period at 2% interest rate per annum.
The minister said the loan to be issued in three equal $100 million tranches will be used to neutralize the main short-term and medium-term risks and eliminate obstacles to strong economic growth. He added that a special focus will be placed on energy, construction sectors, budget components, as well as on long-term and structural strengthening of the internal and external economic relations.
Economy minister Karen Chshmarityan told the reporters after the government session that the use of the loan will have a positive effect on the overall economic situation in the country.
Dmitry Pankin, the chairman of the Eurasian Development Bank’s Board, said earlier in an exclusive interview with ARKA that the first $100 million tranche is very likely to be released in December, while the next two tranches- each $100 million- are planned for 2016 and 2017.
The Eurasian Fund for Stabilization and Development (EFSD, before known as the EURASEC Anti-Crisis Fund) is a regional financial arrangement in the amount of US$ 8.5 billion. It was established by Armenia, Belarus, Kazakhstan, Kyrgyzstan, Russia and Tajikistan in 2009. EFSD mission is to help member countries ensure their long-run economic stability and foster economic integration between them. -0-
According to finance minister Gagik Khachatryan, the $300 million loan, repayable in 20 years, will be provided with a 10-year grace period at 2% interest rate per annum.
The minister said the loan to be issued in three equal $100 million tranches will be used to neutralize the main short-term and medium-term risks and eliminate obstacles to strong economic growth. He added that a special focus will be placed on energy, construction sectors, budget components, as well as on long-term and structural strengthening of the internal and external economic relations.
Economy minister Karen Chshmarityan told the reporters after the government session that the use of the loan will have a positive effect on the overall economic situation in the country.
Dmitry Pankin, the chairman of the Eurasian Development Bank’s Board, said earlier in an exclusive interview with ARKA that the first $100 million tranche is very likely to be released in December, while the next two tranches- each $100 million- are planned for 2016 and 2017.
The Eurasian Fund for Stabilization and Development (EFSD, before known as the EURASEC Anti-Crisis Fund) is a regional financial arrangement in the amount of US$ 8.5 billion. It was established by Armenia, Belarus, Kazakhstan, Kyrgyzstan, Russia and Tajikistan in 2009. EFSD mission is to help member countries ensure their long-run economic stability and foster economic integration between them. -0-
