WORLD BANK FINANCES REHABILITATION OF ARMENIA’S WATER AND WASTE WATER INFRASTRUCTURE
Noyan Tapan
Nov 26, 2008
YEREVAN, NOVEMBER 26, NOYAN TAPAN. The RA Minister of Finance Tigran
Davtian and the Head of the World Bank Yerevan Office Aristomene
Varudakis signed the World Bank-approved 20 million dollar credit for
additional financing of the Armenia Municipal Water and Wastewater
Project. The additional financing will help the Armenian government to
take steps on rehabilitation of the water supply system and extension
of the measures of the current program of reforms, including the
extension of the Management Contract signed between Armenia Water and
Wastewater Company responsible for the project and the international
operator of the water supply system.
According to the press service of the RA Ministry of Finance, the
three major components will receive assistance within the framework
of additional financing:
1) Strengthening the management of Armenia Water and Waste Water
Company through financing of the continuation of the Management
Contract for two more years,
2) investments in Armenia Water and Waste Water Company by financing
structural and financial capacity development, purchase of equipment
and machines for improving the work of Armenia Water and Wastewater
Company, reconstruction and improvement of chemical and biological
laboratories, as well as training and retraining of the staff of
Armenia Water and Wastewater Company,
3) investments in the branch system by financing the replacement of
cleaning and chlorination equipment, purchase and installation of
pressure loggers and pipes, and construction work.
Reference: Armenia joined the World Bank in 1992 and the International
Development Association in 1993. Commitments so far made about 1.076
billion dollars under 49 programs. The credit has been provided on
"hardened" conditions at 0.75% annual interest rate for a 20-year
period, with a grace period of 10 years.