The Government of Armenia has decided to enhance the terms of the loan subsidy program for purchasing agricultural raw materials.
This decision aims to alleviate the burden of servicing loans attracted within the framework of the interest rate subsidy program for agricultural raw material purchases and to improve the conditions of this program.
"The decision is prompted by the losses incurred by economic entities when exchanging payments received in foreign currency for Armenian dram due to the sharp increase in its exchange rate recently.
According to the decision, from September 8, 2023, to December 30, 2023, loans are issued for up to 5 years, subsidized by 11 percentage points, and the grace period for repaying the principal amount of the loans does not exceed 24 months from the loan disbursement date.
During the period from September 8, 2023, to December 30, 2023, around 6.3 billion Armenian drams were attracted for the purchase of grapes," the statement reads.
The Ministry of Economy has made changes to the lending program. Now companies purchasing grapes can be given additional time to repay the money - up to 12 months. The loan can also be repaid within 12 months. Interest rates remain unchanged.
