IMF facilitatates terms of stanby loan repayment for Armenia

On Thursday, Armenian government gave its consent to revision of an agreement with the International Monetary Fund on extending a standby loan of SDR 202.4 million to Armenia.

Finance Minister Tigran Davtyan said that the government asked facilitation of the loan terms from the IMF, and in July the IMF directorial board decided to revise the agreement.

“As a result, we got a chance to restructure the remaining part of the standby loan,” he said. This remaining part amounts to about SDR 74.8 million or more than $100 million.

Davtyan said that terms of this loan repayment would be prolonged from initial five years to ten years with a five-year grace period.

The IMF also made this loan interest-free.

The minister said that Armenia will save $10 to $15 million thanks to that.

He said that the facilitation applies only to the SDR74.8 million that is not transferred yet, while already received money will be repaid under the agreement sealed before the revision. -0-