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GERMANY TO PROVIDE ARMENIA WITH 51 MILLION LOAN TO MODERNIZE VOROTAN CASCADE
ARKA
October 21, 2010
YEREVAN
Armenia's finance minister Tigran Davtian and Eva Witt, first vice
president of German KfW bank, signed credit agreements worth 51
million euros. The financing will be provided for reconstruction and
re-equipment of Vorotan cascade of hydropower plants, the Armenian
ministry said in a press release.
It said the cascade of hydropower plants is of vital importance to
Armenia. Under t rehabilitation program Tatev, Spandarian and Shamb
hydropower plants making the Vorotan cascade will be repaired and
their equipment will be replaced and upgraded. According to the press
release, this will increase the cascade's efficiency.
The first 29 million euro tranche will be provided as part of an
agreement on financial cooperation between Armenia and Germany in
2007-2008. The agreement on release of the second, 22 million tranche
was reached last July.
Part of the loan is repayable in 40 years and has a ten year grace
period. The remaining funding will be provided by the KfW bank with
a 15 year payback term and 4 year grace period. The loan is given at
2% interest rate. The project will be launched in 2011 and will last
for four years.
From: A. Papazian
ARKA
October 21, 2010
YEREVAN
Armenia's finance minister Tigran Davtian and Eva Witt, first vice
president of German KfW bank, signed credit agreements worth 51
million euros. The financing will be provided for reconstruction and
re-equipment of Vorotan cascade of hydropower plants, the Armenian
ministry said in a press release.
It said the cascade of hydropower plants is of vital importance to
Armenia. Under t rehabilitation program Tatev, Spandarian and Shamb
hydropower plants making the Vorotan cascade will be repaired and
their equipment will be replaced and upgraded. According to the press
release, this will increase the cascade's efficiency.
The first 29 million euro tranche will be provided as part of an
agreement on financial cooperation between Armenia and Germany in
2007-2008. The agreement on release of the second, 22 million tranche
was reached last July.
Part of the loan is repayable in 40 years and has a ten year grace
period. The remaining funding will be provided by the KfW bank with
a 15 year payback term and 4 year grace period. The loan is given at
2% interest rate. The project will be launched in 2011 and will last
for four years.
From: A. Papazian