ARMENIA INTENDS TO CONTINUE COOPERATION WITH IMF AFTER COMPLETION OF PRGF PROGRAM IN MAY 2008
ArmInfo
2007-10-22 13:52:00
Armenia intends to continue the cooperation with the International
Monetary Fund after the completion of IMF Poverty Reduction and
Growth Facility (PGRF) program in May 2008, Armenian Prime Minister
Serzh Sargsyan stated at a meeting with new IMF Managing Director
Dominique Strauss-Kahn on October 21 in Washington, a governmental
press release says.
Serzh Sargsyan said at the meeting that the Government of Armenia
intends to extend economic reforms and hopes for further adequate
technical and consultative assistance of IMF. The reforms will apply
the taxation and customs spheres, and the financial and economic
sectors. For his part, IMF Managing Director presented the plans
regarding the assistance in economic reforms which the Armenian
premier promised to study in details.
The Poverty Reduction and Growth Facility (PRGF) is the IMF’s
low-interest lending facility for low-income countries. PRGF-supported
programs are underpinned by comprehensive country-owned poverty
reduction strategies.
Loans under the PRGF carry an annual interest rate of 0.5 percent,
with epayments made semiannually, beginning 5? years and ending 10
years after the disbursement. IMF has approved about $24.9 million
PRGF credit (SDR 16.4 million) to Armenia. Total PRGF credit for
2006-2008 is 34.3 million (SDR 23 million). Armenia joined the IMF
on May 28, 1992. Armenia’s quota in the IMF amounts to SDR 92 million
(about $138.6mln) or 0.04% of the total quota.
Till the end of 2006 IMF approved a total of SDR 112.58 million
to Armenia.
The same day, Armenian prime minister met World Bank Vice President
Shigeo Katsu. The premier expressed satisfaction with the cooperation
with the bank and informed WB vice president of the prior directions of
further cooperation. In his turn Shigeo Katsu said WB brings Armenia’s
example of "successful economic reforms" in CIS. WB Managing Director
G. Willer and Serzh Sargsyan discussed the prospects of development
of the country’s economy. The premier said the major task of the
Government is to ensure high economic growth and make it evident for
public. The parties discussed private sector and economic competition
related issues as well as the reforms in health, education and
science spheres.
WB credits to Armenia have already exceeded $1 billion.