France Commits 75 Million Euros to Enhance Armenia's Public Services and Financial Sector
Armenia has secured a significant financial boost from France, as the Finance Minister Vahe Hovhannisyan and Mathieu Vasseur, the Regional Director for Eurasia of the French Development Agency, signed a credit agreement worth 75 million euros ($80.1 million). This agreement, co-signed by Olivier Decottignies, the French Ambassador to Armenia, aims to support Armenia's budget through a credit funds program.
The primary objective of this initiative is to enhance the efficiency and stability of public service delivery in Armenia, while also focusing on the development of the financial sector. The project is structured around three key components:
1. Improvement of Public Finance Management: Efforts will be concentrated on strengthening Armenia's public finance management system to ensure better fiscal discipline and transparency.
2. Enhancement of State Securities Issuance and Management Framework: The project intends to bolster the infrastructure for issuing and managing state securities, which plays a critical role in Armenia's fiscal stability and economic planning.
3. Development of Financing Instruments for Business Activities: New financial instruments will be introduced to support business activities in Armenia, promoting economic growth and facilitating more transparent financial management practices.
This budget support program is part of a broader, multi-year project that Armenia will undertake jointly with the Asian Development Bank (ADB). The collaboration aims to leverage international expertise and resources to implement sustainable reforms and enhance Armenia's economic resilience.
The French Development Agency's involvement shows France's commitment to supporting Armenia's development goals and fostering stronger bilateral ties. The credit funds provided will enable Armenia to address critical challenges in its public sector and financial markets, paving the way for more robust economic growth and improved governance.
