20 Jun 2024 19:48

Armenia wants to attract 75-mln euro loan from French Development Agency

YEREVAN. June 20 (Interfax) - The Government of Armenia approved a loan agreement with the French Development Agency (Agence Francaise de Developpement, AFD) for 75 million euros at a meeting on Thursday.

The government decree notes that the signing of the agreement is scheduled for June 26.

The funds will be used to finance the state budget deficit of Armenia, subject to the implementation of measures to improve the budget system. In this regard, the Armenian Ministry of Finance agreed with the French side on an action plan to increase the transparency of budget planning and the efficiency of budget expenditures, including by improving the public procurement system.

It is also planned to develop new measures to finance the green economy.

This is not the first agreement between the Armenian authorities and AFD. It was reported in 2022 that an agreement was concluded with a French agency for 100 million euro, and in 2026 for 40 million euro. Funds were raised to finance the budget deficit as well as various government programs.