Russia approves $1bn loan for Belarus

08:21, 22 December 2020
Russia approves $1bn loan for Belarus Photo: Sergey Lantyukhov/NEWS.ru

The Russian government has approved a draft agreement on providing a loan to Belarus in the amount of $1 bn, as indicated on the legal information portal.

To approve the draft agreement between the government of Russia and the government of the Republic of Belarus on the provision of a state financial loan to the government of the Republic of Belarus, submitted by the Ministry of Finance of Russia, coordinated with the Ministry of Foreign Affairs of Russia, the Ministry of Economic Development of Russia and the state development corporation VEB.RF, and a preliminarily elaborated with the Belarusian side.

The funds will be assigned to pay off the republic's state debt. The money will be allocated in two tranches in 2020 and 2021, each of $500 mln. The agreement will be signed upon the consent of the Belarusian side.

The country's authorities will need additional funds allocated by Russia to finance the projected deficit of the consolidated budget and ensure quality medical care and a balanced budget policy.

In October, the Eurasian Fund for Stabilization and Development approved a $500 mln loan to Belarus for up to 10 years.

NEWS.ru reported earlier that the reports about the expected loan emerged in September this year.