284.4 million dollars will be allocated for providing housing for those forcibly displaced from Artsakh

The Government of Armenia has approved the conclusion of agreements worth about 284.4 million dollars with the World Bank, the purpose of which is to provide long-term housing solutions for about 109 thousand people displaced from Nagorno Karabakh and to promote the development of the country’s mortgage market.

This decision adopted at the April 18 session specifies the sources of funding. The bulk of the package, $240 million, will be raised as a loan facility, and $24.4 million will be provided from the Global Concessional Financing Facility (GCFF) in the form of a grant.

The program will also be supplemented by a 10 million dollar grant from the “Viable Planet” Foundation, and another 10 million dollar loan, guaranteed by the government, will be directed directly to the National Mortgage Company.

The support program will work in several directions. It is planned to provide direct financial assistance to refugees for the repayment of rent and utility costs, as well as to subsidize the mortgage loan advance payments and monthly contributions of the beneficiaries of the state program.

One important component is to open a credit line for financial organizations for the purpose of refinancing mortgage loans. The program also includes digital and institutional capacity building.

Implementation of the project is entrusted to the RA Ministry of Labor and Social Affairs. According to the justification of the government, the project is a logical continuation and expansion of the state support program launched in May 2024.

According to official data, 4,735 families have received housing certificates, of which 2,113 have already managed to buy an apartment, receiving more than 4.2 billion drams from the state budget. After the entry into force of the international agreement, funding will be allocated in stages, according to the established indicators and results.

—