The World Bank Group’s Board of Executive Directors approved a US$21.2million credit for the Social Protection Administration II Project (SPAP) in Armenia.

The project will support the Government of Armenia in improving social protection service delivery and strengthening analytical, monitoring and evaluation functions of the agencies delivering social protection benefits and services.

Armenia has consistently reformed its social service delivery, emphasizing efficiency and targeting among other priorities.These efforts need further enhancement to cope with the protracted and high unemployment, poverty and vulnerability which disproportionately affect women.In response to the challenges, Armenia has chosen a model of functional integration of four existing agencies responsible for pensions, social assistance, employment and disability certification.Under the first SPAP, the above service providers were co-located, with upgraded facilities, integrated management information system, and new case management proceduresin 19 sites across the country.

Under the new project, this model will be rolled-out to another 37 Integrated Social Protection Centers.The activities, from civil works to furniture and IT equipment with software provision, as well as trainings and on-the-job mentoring along with a proactive communication with the public, willensure the fully operational nature of the centers, delivering high quality services tailored to the needs of the beneficiaries.

Total financing of the project is US$25.5 million, of whichUS$4.3 million will be the Armenian Government’s contribution. The World Bank credit of US$21.2 million will be provided on standard blend IDA terms at a fixed interest rate of 1.25% per annum with a maturity of 25 years and a 5 year grace period.