Armenia’s foreign debt near $3bn – report
Armenia’s foreign debt increased 0.5% to reach $2.981 billion in
the first quarter of 2010, says a story posted for Vesti Kavkaza
(News of the Caucasus) news portal.
Suzanna Petrosyan writes that borrowing from international lenders accounts for 70% of the debt. Affecting the increase is lending from the International Monetary Fund (IMF) totaling $823 million, the World Bank’s allocations worth $545 million and Russia’s loans worth $500 million.
The South Caucasus republic’s arrears surged 2.5 times in 2009 compared to 2008. Most of the amount was made up by loans allocated for 35 and 40 years with grace periods ranging between seven and ten years.
The country’s foreign debt amounting to 38% of the GDP as of early 2010 has raised worries among politicians and experts. Some of them charge that due to the rising debt Armenia’s leadership is increasingly turning into a stooge of international lenders. Grant Bagratyan, Armenia’s former prime minister, believes that since the owed amount is commercial debt, the arrears pose a serious threat to the country.
Petrosyan wrote that whereas Armenia spent $8m to clear its foreign debt in 2008, the figure will amount to a staggering $478m in 2013.*
Suzanna Petrosyan writes that borrowing from international lenders accounts for 70% of the debt. Affecting the increase is lending from the International Monetary Fund (IMF) totaling $823 million, the World Bank’s allocations worth $545 million and Russia’s loans worth $500 million.
The South Caucasus republic’s arrears surged 2.5 times in 2009 compared to 2008. Most of the amount was made up by loans allocated for 35 and 40 years with grace periods ranging between seven and ten years.
The country’s foreign debt amounting to 38% of the GDP as of early 2010 has raised worries among politicians and experts. Some of them charge that due to the rising debt Armenia’s leadership is increasingly turning into a stooge of international lenders. Grant Bagratyan, Armenia’s former prime minister, believes that since the owed amount is commercial debt, the arrears pose a serious threat to the country.
Petrosyan wrote that whereas Armenia spent $8m to clear its foreign debt in 2008, the figure will amount to a staggering $478m in 2013.*
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