Azerbaijan signs loan agreements worth $2 billion under state guarantee in 2008
Azerbaijan, Baku, March 11 / Trend N. Ismayilova /
Over 14 loan agreements and two agreements on financial cooperation totaling $1.92 billion were signed to finance significant projects for Azerbaijani economy in 2008, the Cabinet of Ministers' report as a result of 2008 says. The report will be submitted at the plenary meeting of the Parliament on March 13.
Of total amount of foreign borrowings under state guarantee the World Bank allocated six loans worth $637.7 million, Sosiete Generale French bank - one loan worth $423 million, Asian Development Bank - three loans worth $415 million, BNP Paribas French bank - one loan worth $320 million, ABN AMRO bank Chicago branch - one loan worth $74.5 million.
Moreover, the French government allocated one loan worth $21 million, the International Fund for Agricultural Development (IFAD) - $17.25 million. The German government allocated two loans worth $15.5 million.
Totally, as of January 1, 2009, 126 loan agreements worth $6.57 billion were signed. Realization of 59 projects worth $2.54 billion has already been completed, the rest ones under implementation. Mainly, these loans are directed to finance priority spheres for country's economy, such as restoration of infrastructure, projects on reconstruction and development.
As of January 1, 2009 total sum of used loans made up $3.66 billion that totals 56 percent of total borrowings ($6.57 billion)
The signed agreements and treaties are distributed on economic sectors in the following way: power engineering - 35.6 percent, transport and road construction - 29 percent, water supply - 11.3 percent, social branches - 3 percent, loans drawn for economic reforms - 7.5 percent, agriculture and melioration - 5 percent.Do you have any feedback? Contact our journalist at [email protected]