Russia to extend $500 mln loan to Armenia for 15 years

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.

/Trend Capital/