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20:00, 6 August 2010

Russia gives 700-million credit to Abkhazia

The intergovernmental agreement on Russia's crediting of 700 million roubles to Abkhazia was signed today in Sukhumi.

The credit is granted for capitalization and modernization of the National Bank of Abkhazia for the period of 10 years under a 2.5 percent annual interest rate. The credit will be provided during 2010 in two tranches.

"Today we have signed the first credit agreement in the history of our interstate relations the," Dmitri Pankin, Minister of Finance of the Russian Federation, told journalists after signing.

According to the Minister, the Russian party has willingly set up the 2.5 percent rate which is below the market one. The first 4 years will be a grace period - without repayment.

Author: Angela Kuchuberia

Source: CK correspondent

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