Government Of Armenia Has Already Decided How To Spend Russian Credi

GOVERNMENT OF ARMENIA HAS ALREADY DECIDED HOW TO SPEND RUSSIAN CREDIT

Noyan Tapan
July 2, 2009

YEREVAN, JULY 2, NOYAN TAPAN. At the July 2 sitting, Armenian Prime
Minister Tigran Sargsyan said that about 180 billion drams of the
credit provided by Russia have been distributed in several directions,
which will have a great impact on the country’s economy. In his words,
this money has been distributed in such a way that it will be possible
to contribute to the growth of the resistive capacity of the economy
and to the repayment of credit resources. That is, this debt will grow
heavy on the state to the extent, to which these resources will be
allocated to interest-free current expenses and capital construction.

The prime minister said that 24 billion drams of the Russian credit
will be provided for restoration of the earthquake zone, money will be
also allocated to the Stabilization Fund of the Central Bank of Armenia
(CBA), and considerable funds will be given for credit extension.

T. Sargsyan underlined the extension of credit opportunities for small
and mideum business as a key goal. Money for SMEs will be distributed
through the German Armenian Fund that has proven the efficiency of
its operation and ensured the repayment of resources and jobs. The
second target is the mortgage market, and the Mortgage Fund set up
by CBA will also receive additional money. The third target is the
Small and Medium Entrepreneurship Development National Center which
has already prepared credit programs of a total of 5 billion drams
in Armenian marzes (provinces). These programs will help promote this
sector in Armenia.