The Management Board of the World Bank approved the strategy of partnership with Armenia for 2009-2012 to the amount of $670-700mln, Head of Yerevan Office of the World Bank Aristomene Varudakis told reporters on June 11. According to him, the World Bank will issue $545mln credit to Armenia under the program for 2009-2012. Varudakis said $150mln will be issued to Armenia as International development Association (IDA) credit on favorable conditions, while $395mln will be issued on conditions of the International Bank for Reconstruction and Development for states with average revenue. Besides, Varudakis noted the International Financial Corporation, as member of WB Group will assign an additional $150mln as credit or participation in capital of private companies. As part of strategy, a part of the means will be assigned to commercial banks of Armenia for issuing credits to small and medium businesses which will contribute to activation of economy and will enable to carry out investments and create jobs. The other aim of the assistance to Armenia is improving its competitiveness and preparing it for economic growth after the crisis. Varudakis stated that Armenia’s economy is falling and a 9-9.5% annual decline is expected to be recorded at the end of this year but he expressed a hope that the situation will improve and a 1.5-2% economic growth will be recorded in 2010.
