The European Investment Bank’s development arm, EIB Global, is lending €50 million to the Republic of Armenia for key socio-economic projects in the country’s southernmost province. The new financing agreement was signed during the first-ever visit by an Armenian Deputy Prime Minister to the EIB Headquarters.

The Armenian government will use the funds to improve community livelihoods and foster growth, by increasing access to reliable potable water supplies, and improving access to quality education and health services in the region.

The region Syunik, which faces economic and infrastructural challenges, has been the focus of development efforts by both the Armenian government and the European Union. The project is part of the Resilient Syunik Team Europe Initiative.  Launched in 2023, the initiative aims to support the socio-economic resilience of the southern region of Armenia, which has been most affected by the 2020 hostilities and the arrival of around 120,000 Karabakh Armenians following the military escalation in September 2023.

“This framework loan agreement endeavours to support recovery efforts by allocating resources to essential public infrastructure, as well as addressing the basic infrastructure needs of displaced populations in Armenia's southern region. The Government of Armenia, through its relevant ministries and the Syunik Governorate, is working in coordination to advance this agenda, with the aim of strengthening the region's resilience. Today's meetings with the President and Vice-President of the Bank were productive, and we were able to align on clear next steps aimed at expanding our cooperation. We are grateful for the readiness of our partners in Brussels and in the EIB to mobilize financial resources and technical expertise to support the objectives outlined in the Resilience and Growth Plan and the joint priorities defined by the EU-Armenia New Partnership Agenda," said Armenia's Deputy Prime Minister Mher Grigoryan.