14,757 applications submitted under bad loan program 

ArmInfo.  14,757 applications have been submitted under the program of the Ministry of Labor and Social Affairs of Armenia aimed at supporting citizens with bad  loans. This was announced during a press conference on July 11 by  Armen Margaryan, Head of the Family Benefits Department of the  Department for Pension Provision and Other Cash Payments of the  Ministry of Labor and Social Affairs.  

He noted that of this number, 4,400 applications have already been  confirmed that met the criteria of the program (the citizen must be  employed, have a bad loan for at least 3 years, the maternity amount  of which must not exceed 1 million drams).

According to Margaryan, 398 million drams have already been allocated  to implement the program. The program also contributed, as the  representative of the Ministry noted, to an increase in employment,  since in just one month about 1,000 people were employed in Armenia  with the aim of becoming its beneficiaries.

Margaryan recalled that the program provides for the repayment of  accumulated fines and penalties on the loan in the amount of 20% (the  bank takes on the remaining 80%), which, as usual, are several times  higher than the parent loan amount, through income tax.

He noted that applications for participation in the program can be  submitted until January 31, 2026.  Assistance to citizens with bad  loans will be provided within 24 months. It is expected that at least  131,000 people (60% of the target group) will participate in the  program by January 31, 2026. According to the financial rating of  Armenian banks as of 31.03.25, prepared by ArmInfo Investment  Company, based on published reports and additionally requested data,  the volume of bad loans exceeds 70 billion drams.