The Armenian government approved—at its Cabinet meeting Thursday—the 2023 financial cooperation agreement with the German government.

The respective explanation states that this agreement provides an appropriate legal framework which serves as the basis for the signing of separate funding or loan agreements, and cooperation between the two parties.

The agreement envisages receiving a loan of up to €26 million from the Recovery Loan Bank for the Development of Renewable Energy and Energy Efficiency: Phase IV program, and a grant of up to €2 million for related activities necessary for the implementation of this program and consultancy.

In addition, the German government shall provide an opportunity to other borrowers to be selected by the Armenian government, or jointly by the two governments, with a soft loan of up to €40 million for the Development of Renewable Energy and Energy Efficiency: Phase V program, as well as a grant of up to €1 million for related activities necessary for the implementation of this program and consultancy.