Armenia limits its agri-loan interest subsidy programme to 2026: loan agreements must be signed by 30 December
Armenia’s government at its 12 November session shortened the programme subsidising interest rates on loans to the agri-food sector: instead of 2026–2027 it will run in 2026 only. The loan agreement between the financial institution and the beneficiary must be signed by 30 December 2026 inclusive.
The change was made to the programme approved by Government Decision No. 468-L of 9 April 2026. According to the draft’s rationale, it follows from an instruction given at a meeting with the prime minister on 17 September 2026 on the 2027 draft state budget: to take steps to end, from 1 January 2027, the subsidising of interest on small agricultural loans to businesses in the agri-food sector.
The decision affects farms and agri-food companies, as well as the banks and credit organisations taking part in the programme. According to the rationale, 26,841 loans totalling about 47.74 billion drams ($132.4 million) had been issued under the programme as of 30 September.
The change means that new loans under the programme can be obtained only this year. The rationale says the decision entails no change in 2026 state budget revenues or expenditures. The draft was prepared by the Ministry of Economy.
Businesses that intend to use the programme need to sign their loan agreement by 30 December. The decision takes effect the day after publication.
BusinessDaily.am reported that gross agricultural output fell 4.8% in January–September.
