MOSCOW, May 20 (RIA Novosti) - Moscow is to grant Yerevan a $500 million loan to prop up the Armenian economy amid the ongoing economic crisis.
Wednesday's agreement to extend the 15-year loan at LIBOR plus 3% was signed by Russian Finance Minister Alexei Kudrin and his Armenian counterpart Tigran Davtyan in Moscow.
Speaking at the signing ceremony, Kudrin said that the loan was granted on concessional terms, with interest at about 4% per annum, a reflection of the current market situation.
"We'll grant a five-year grace period, during which only interest will be paid," Kudrin said.
