Рђzerbaijan and the World Bank plan to sign a loan agreement on the Project of Poverty Reduction Support Credit (PRSC) during 10 days. The Cabinet of Ministers has already given relevant authorities to the Finance Minister, the government told Trend.
The creditвЂ™s funds are planned to use for covering the budget deficit.
The credit issuing was approved on 17 May by the World Bank Board of Directors in the framework of the current Strategy of the Country Assistant Project 2003-2005 (CAS).
Within the Project Azerbaijan will be allocated funds in the amount of $20 million for 35 years with the grace period of 10 years. The basic projectвЂ™s components are development of the economyвЂ™s non-oil sector opportunities, increase of possibilities of the management improvement, introduction of the social involvement and improvement of the targeted service. The projectвЂ™s funds are planned to be distributed in the following way: 5% - for education, 5% - for healthcare and social services, 40% - for energy issues, 40% - for industry and trade, 10% - for major finances. The loan is allocated under the conditions of the International Association of Development.