At the NA extraordinary session convened on June 26 at the initiative of the Government, the draft law on ratifying the ‘Green, Resilient and Inclusive Development Policy Loan’ Loan Agreement between the Republic of Armenia and the International Bank for Reconstruction and Development (IBRD) was debated.
The RA Deputy Minister of Finance Eduard Hakobyan noted that the budget support loan will provide loan to the Armenian side in the amount of EUR 92.300.000 (equivalent to USD 100 million). The principal amount payment will start from 15 June 2028 to 15 June 2041 with equal portions of 3.57% of the loan amount, and the last repayment is on 15 December 2041, in the amount of 3.61% of the loan.
It was mentioned that the activities carried out by the borrower will be aimed at improving climate resilience, mitigating the consequences of climate change, strengthening social equality, promoting the development of human capital and increasing the efficiency of public sector management.
The co-rapporteur, the Chair of the NA Standing Committee on Financial-Credit and Budgetary Affairs Gevorg Papoyan, presenting the endorsement of the Head Committee, stated that the capital expenditures exceed the budget deficit. According to him, the loan funds will be directed to capital expenditures, and, according to him, they are economic growth and economic opportunity.
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“We can insist that this is an easy-to-service loan, because it will promote economic growth, the creation of infrastructures, and they will enable us to service the loans in the future,” the Committee Chair said and called on his colleagues to vote for it.
The National Assembly adopted the draft law.
National Assembly of the Republic of Armenia
