ArmInfo.For the implementation of the second program of social efficiency and financial markets, the Asian Development Bank will provide a loan of 36.5 million euros to Armenia. At an extraordinary meeting on December 12, the Armenian parliament discussed the draft agreement with the Bank submitted by the government of the country.
According to the Deputy Minister of Finance of Armenia Armen Hayrapetyan, the agreement with ADB was signed on November 14, 2019. According to the Deputy Minister, the timely receipt of these credit resources is important from the point of view of financing the expenses stipulated by the provisions of the state budget of 2019. The program provided for reforms in the field of financial markets and capital markets, which is the main condition for granting a loan. The main objective of the project is to strengthen fiscal stability in Armenia, the development of financial markets and the capital market. The scope of the program includes, in particular, strengthening the management of public debt and fiscal risks, increasing the liquidity of the money market and transparency of the financial market, the development of corporate debt and stock markets. Armenia fulfills all these requirements, which were evaluated by the Bank, which ultimately resulted in a loan. The entire amount of financial resources will be directed to paying off the state budget deficit in 2019. ADB will provide Armenia with a loan for 15 years, with a grace period for payments in the first 3 years and a floating rate of 6-month EURIBOR + 0.6% with a fixed spread and a 0.1% discount rate on the loan. The frequency of payments for servicing a loan is semi-annual. Unpaid loan amount is calculated as obligation of 0.15% of the loan starting from the 60th day from the date of signing the contract.