World Bank signs loan agreements with Armenia.

Armenia’s Finance Minister Vache Gabrielyan and Jean-Michel Happi, the World Bank Country Manager for Armenia, signed on Wednesday financing and loan agreements, worth US$ 50 million and $30 million, and within the framework of the “Third Development Policy Operations” Program.

In line with this Program, the International Development Association will provide Armenia a loan worth close to $ 50 million. The loan is provided for a 25-year term, whose five years will be privileged, with a 1.25 percent annual interest rate, the Finance Ministry informed.

Also along the lines of the aforesaid Program, the European Bank for Reconstruction and Development will provide to Armenia a $30-million loan. The latter is likewise provided for a 25-year term, whose ten years will be privileged. The interest rate comprises a six-month USD LIBOR + variable margin.

The loans are provided to Armenia as budget support.