At the session of August 8, the Government of the Republic of Armenia approved the draft law of the Republic of Armenia "On Ratifying the Credit Agreement No. CAM 1024 01 C between the Republic of Armenia and the French Development Agency".
Budget support funds in the amount of 75 million euros will be directed to the financing of the deficit defined by the RA law "On the State Budget of the Republic of Armenia for 2024".
The scope of the policy-based budget support program includes the following sectoral directions of reforms:
- increasing the efficiency of fiscal planning, transparency, risk management, as well as government spending,
- reforms of state investments, including public-private partnership system,
- modernization of the state procurement system,
- development of green economy policies, increasing adaptation to climate change and expanding the use of green financial instruments,
- improvement of the government debt management system,
- development of financial and capital markets,
- the expansion of corporate transparency by revising the legal framework for the regulation of accounting and auditing activities.
This is the 2nd phase of the program. "Sub-program 1" was implemented in 2022. The implementation of the project was accompanied by technical assistance, which was aimed at supporting the implementation of targeted reforms in the RA Ministries of Finance, Economy, Environment, the RA Central Bank and the RA State Revenue Committee.
The program is implemented jointly with the Asian Development Bank and the scope of reforms is also identical, and the loan agreement with the Asian Development Bank is expected to be signed soon after approval by the ADB Board.
