The Armenian government has approved a €75 million loan from the French Development Agency to address the country’s budget deficit. The loan agreement is set to be signed on June 26.

Report informs via Sputnik Armenia that unlike project-specific loans, this financial assistance will be used to supplement the government’s budget, allowing for expenditures at their discretion. However, the loan comes with a condition to improve Armenia’s budgetary system.

To meet this requirement, the Armenian Ministry of Finance has coordinated with the French side an action plan aimed at enhancing the transparency of budget planning and the efficiency of budget expenditures. This includes reforming the public procurement system.