ArmInfo. The European Investment Bank (EIB) will provide Armenia with a loan of 25 million euros for the implementation of the second stage of the program to improve the energy efficiency of buildings and structures in Yerevan.
According to the Deputy Minister of Territorial Administration and Infrastructure of the Republic of Armenia Vache Terteryan, the agreement was signed on November 29, 2023. The total cost of the project is 37.1 million euros, of which 25 million euros will be provided by the EIB, 2 million euros will be co- financed by the Yerevan City Hall, and 10.1 million euros are planned to be raised as a grant from the European Neighborhood Policy Fund. The loan is sovereign, guaranteed by the government of the Republic of Armenia, although negotiations with the EIB were conducted by the capital administration. Resources will be attracted at a floating Euribor rate, calculated every six months plus a fixed margin.
Credit resources, Teretryan noted, are planned to be used to implement the second stage of the energy efficiency improvement program in Yerevan, which has proven its effectiveness and is producing positive results. The vast majority of the loan will be used to improve the energy efficiency of kindergarten buildings. Terteryan pointed out the importance of the program, which has a significant grant component. "If we keep in mind that the 2 million euros that the Yerevan City Hall will allocate can be considered a grant, then the proportion between the loan and the grant will be about 50% to 50%," the deputy minister said, adding that the implementation of the project will allow for 30-40 % save the amount of electricity consumed. He added that the energy passport of the program has already been prepared, within the framework of which work will be carried out at 38 facilities, 32 of which are kindergartens, and 6 of clinics.
