ArmInfo. On January 16, the Government of Armenia approved a proposal to sign a financial cooperation agreement with the Government of the Federal Republic of Germany for 2023.
As stated in the explanatory note to the document, the agreement provides the relevant legal framework that serves as the basis for concluding separate financing or loan agreements and cooperation between the parties.
The agreement provides for a loan of up to 26,000,000 euros from KFW (German Development Bank) under the program and a grant of up to 2,000,000 euros for related activities necessary for the implementation and consulting of the above- mentioned project.
In addition, the German government provides the Armenian government or other borrowers, which will be jointly selected by the two governments, with the opportunity to receive a preferential loan of up to EUR 40,000,000 under the program , which is provided through KFW within the framework of the Community Development Cooperation, as well as a grant of up to EUR 1,000,000 for related activities necessary for the implementation of the above- mentioned project and consulting services.
It is noted that the Government of the Republic of Armenia exempts KFW from direct taxes payable in the Republic of Armenia in connection with the conclusion and implementation of the programs.
The agreement is a framework agreement, within the framework of which it is planned to sign separate agreements on financing or lending for the above-mentioned programs in the future.
