Yerevan, January 18 /Mediamax/. Central Bank of Armenia and the German KfW Bank signed an agreement in Yerevan today on provision of a loan at the sum of 6mln euro for the development of the mortgage crediting market.

Mediamax reports that this is the second tranche of the loan at the volume of 12mln euro, provided for by the intergovernmental agreement, signed in March of 2006.

The first half of the loan was received in 2006.

As the representative of KfW in Armenia Karapet Gevorkian stated today, at present, over 75% of the first tranche is already placed, and the second tranche is planned to be fully placed by mid-2009.

Chairman of Armenian CB Tigran Sarkisian stated that the mortgage market is one of the most dynamically developing ones in Armenia.

“The volume of mortgage credits, granted in Armenia in 2007, doubled and made 55bln drams”, Tigran Sarkisian stated. He also noted that the general demand on the mortgage market of Armenia in 2007 made $400mln.

Partners of the program, realized at the financial means of the KfW loan, are 9 banks and 2 credit organizations: “Armbusinessbank”, “Anelik Bank”, “Areximbank”, “Armeconombank”, “Cascade Bank”, “ARARATBANK”, “Inecobank”, “Byblos Bank Armenia”, “Ardshininvestbank”, the “First Mortgage Company” and “Washington Capital”.