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Possible disbursement of new tranche of EurAsEC loan to be discussed on December 7

The board of the Eurasian Development Bank and the Anti-crisis Fund of the Eurasian Economic Community (EurAsEC), at a meeting in Minsk on December 7, will discuss the possible disbursement of a new tranche of the economic bloc’s $3-billion stabilization loan for Belarus, said the government’s news agency BelTA.

The executives will also discuss the possibility of issuing a loan to Zhlobin-based Belarusian Steel Works.

Approved by the board of the EurAsEC Anti-crisis Fund on June 4, 2011, the stabilization loan for Belarus was aimed at supporting the country's efforts to improve its balance of payments. The 10-year loan was to be disbursed in six tranches within three calendar years.

The loan has a grace period of three years and carries a floating interest rate set on the basis of the reference rates of the Russian Federation and Kazakhstan.

The first, $800-million tranche of the loan was made available to Belarus in June 2011. Another portion, $440 million, was provided in late December. Belarus received the third, $440-million tranche in mid-June 2012.

The lending arrangement requires the Belarusian government to sell at least $2.5 billion worth of state assets this year, a condition that is unlikely to be fulfilled. //BelaPAN