Armenian parliament ratifies Russian defense loan agreement

 Armenian parliament ratifies Russian defense loan agreement

The National Assembly of Armenia unanimously ratified the $100-million defense loan agreement signed with Russia in Yerevan on October 24. 

Armenia's first deputy defense minister Artak Zakaryan said the agreement implies supply of armament as part of the already existing agreement dated from 2013. 

In accordance with the agreement, Russia will provide a state export loan to Armenia for supplying Russia-made military products to Armenia, ARKA reported.

The loan will be provided at a three-percent annual interest rate for a 15-year period which begins in 2023 and ends in 2037, but the lent financial resources will be used already in 2018-2022. 

Then government says that Armenia should use the loan for financing up to 90% of each contract on supply of ammunition. In compliance with its contractual obligations, the Armenian side has to pay no less than 10% of the contact cost.