ADB TO ALLOCATE U.S. $ 500 M
News.am
19:19 / 09/29/2009
The Asian Development Bank (ADB) Board of Directors approved the
framework loan agreement with Armenia for U.S. $ 500m to finance the
Armenia-Georgia highway reconstruction.
The project is aimed at the development of transport corridor
"North-South", ADB Yerevan office informed NEWS.am. The 7 years’
loan agreement provides the Agarak-Kapan-Yerevan-Bavra highway
reconstruction. The road will give access to Georgian Batumi and Poti
ports for Armenian freighters.
The credit will be allocated to Armenia in tranches for 32 years
and 8-year period of grace. The annual interest rate will be 1% in
period of grace with further increase to 1.5%. The Bank Board agreed
to allocate the first U.S. $60m tranche to reconstruct 18-km passage
of Yerevan-Ashtarak motorway.
First tranche co-financing of RA Government will reach U.S. $10m,
with further increase to U.S. $462m.
Thus, the overall value will make U.S.$962m.
Disclaimer: This article was contributed and translated into English by Kajoyan Gevork. While we strive for quality, the views and accuracy of the content remain the responsibility of the contributor. Please verify all facts independently before reposting or citing.
Direct link to this article: https://www.armenianclub.com/2009/09/30/adb-to-allocate-u-s-500-m/