ARMENIAN PARLIAMENT APPROVES OF ARMENIA’S JOINING EURASIAN DEVELOPMENT BANK

ARKA
Feb 3, 2009

YEREVAN, February 3. /ARKA/. At its sitting today the RA Parliament
ratified the Agreement Establishing the Eurasian Development Bank.

RA Minister of Energy and Natural Resources Armen Movsisyan reported
that the bank was co-established by Russia and Kazakhstan.

The Eurasian Development Bank is an international financial institution
established to promote the development of trade and economic relations
and implement long-term projects, he said.

Movsisyan said that the bank can become one of the Eurasian pivots in
the near future. He pointed out that the bank’s authorized capital
is currently $1.5bln, with Russia’s share being $1bln, and that of
Kazakhstan $500mln.

Armenia’s planned share is $100, which will allow the country to be
fully involved in the management process and receive its share of
the profit.

Movsisyan pointed out that Armenia’s sharing in the Eurasian
Bank will allow the country to attract the bank’s funds to the
infrastructural reforms in the country, agricultural development,
industry, particularly to the mining industry. However, Armenia’s
sharing in the bank will be most beneficial to the country’s energy
sector, where large-scale projects are expected – the construction
of a new nuclear-power plant, use of the water power potential.

"We have a number of large-scale projects here in Armenia,
particularly, the construction of an Iran-Armenia railway and of
a new nuclear-power plant, which require huge investments. In this
aspect the country’s sharing in such a large bank with Russia and
Kazakhstan will be beneficial," he said.

On July 31, 2008, a task group was formed in Armenia to coordinate
Armenia’s joining the Eurasian Development Bank. The group worked
at Armenia’s acceding to the Russian-Kazakh agreement establishing
the bank, as well as at the issues of cooperation and elaboration of
medium-term programs.

Russia and Kazakhstan signed the Agreement establishing the Eurasian
Development Bank on January 2, 2006. The bank launched its activities
in June 2006. The bank is headquartered in Almaty, Kazakhstan.

The bank funds large- and medium-scale long-term investment projects,
including industrial and innovation projects in the member-countries,
as well as special-purpose interstate programs. The bank also renders
financial assistance to the member-countries in their macroeconomic
and structural policies. The bank is also involved in regional
investment projects, crediting industrial enterprises in the
member-countries.