The European Investment Bank has approved loans for up to €37 million to develop infrastructure improvement projects in Armenia. These two loans will be dedicated to the improvement of drinking water and waste water treatment infrastructures, and to the modernization of certain border crossings.

The loans approved by the European Investment Bank (EIB) for projects to be developed in Armenia are based on the mandate from the Council and the European Parliament on the policies developed in Eastern Partner Countries and in Russia. This mandate covers the period 2007-2013 and focuses on the development of projects in local private sector development - especially SMEs, and the development of infrastructure and socio-economic improvement and adaptation to climate change.

Whithin this context, the first of the loans approved by the EIB will be devoted to the development of border crossings in Bagratashen, Bavra and Gogavan, along with the improvement of roads and associated infrastructures in the surrounding areas. The loan, which totals €30.3 million, will help the Armenian authorities to develop their priorities in maintaining reliable transport infrastructure.

The second loan amounts to €6.5 million. It will finance projects to improve drinking water access and water treatment and sanitation. These actions will benefit some 300,000 people in 17 small Armenian populations, helping to improve their living conditions.

Both projects will be co-financed by the European Bank for Reconstruction and Development (EBRD) and the Neighbourhood Investment Facility (NIF). With this loans signature the EIB almost triples its investments in Armenia.