YEREVAN. – In line with the draft 2014 State Budget of Armenia, South Caucasus Railway Company will be allocated a subsidy totaling 536.5 million drams, the draft states.  

To note, the company was allocated a subsidy in the amount of 207.7 million drams from the 2013 State Budget. 

According to the explanatory note of the draft, this increase in the amount of the subsidy is due to the reimbursement of the obligations incurred in previous years. 

The amount of the subsidy being allocated to South Caucasus Railway Company is decided on the basis of the audit conclusion.   

Pursuant to the concession agreement signed in 2008, the passenger commuting prices are set with accordance, but the Armenian government has to compensate for a part of the losses.