The government of Armenia and the European Investment Bank have reached an agreement to revise the “Yerevan Water Supply Improvement” financial agreement. This agreement, which was originally signed and amended on June 27, 2014, aims to improve the water supply infrastructure in Yerevan.

The revision includes a plan to reconstruct the water supply networks in non-electrified areas of the city, replace old pipes in residential areas, and improve water metering and the quality of water supply for residents. As part of the program, the Armenian side has committed to gradually implementing the final availability period for loans by financial institutions until December 23, 2025.

Additionally, a transition to a new financial rate called the “SOFR” (Secured Overnight Financing Rate) is included in the amendment. The calculation of this rate will be undertaken by the New York Bank. This change is a response to the phasing out of the previous “LIBOR” rate, which has been initiated due to market misconduct cases.

It’s important to note that the amended agreement does not entail any additional financial obligations for Armenia. The government remains committed to improving the water supply infrastructure in Yerevan for the benefit of its residents.

Source: News from Armenia – NEWS.am