On 7 February, the Armenian government secured over 21 million euros ($23 million) in funding from the European Union and the European Bank for Reconstruction and Development (EBRD) for its plans to modernize and expand Armenia’s sole border crossing with Iran in Meghri, reported the Armenian Radio Free Europe. 

Iran is a major trading partner of Armenia. According to Armenian government data, Armenian-Iranian trade rose by 12 percent, to $409 million, last year despite U.S. sanctions imposed on the Islamic Republic. The Meghri checkpoint processes up to one-third of goods shipped to and from landlocked Armenia. 

On the same day, the Armenian Economy Minister Tigran Khachatryan met with the EBRD Vice President Pierre Heilbronn, and discussed ways to increase bilateral cooperation. The parties also discussed the development of the capital market as an infrastructure and a tool to increase competitiveness. The speakers also exchanged thoughts on technical equipment and increasing productivity in all sectors of the economy to stimulate investments in these sectors.

Khachatryan spoke about the government’s economic policy, emphasizing the importance of ensuring a level playing field and transparency for all. According to Khachatryan, the involvement of the EBRD in the economic life of the country is very important. The minister praised the EBRD for being involved in the opening of a private equity investment fund in the country with the assistance of the EU. 

The EBRD is the leading institutional investor in Armenia, which has invested 1.4 billion euros in 180 programs since its inception in Armenia in 1992. In Armenia the EBRD focuses on developing the financial sector, improving transport infrastructure, supporting the development of value-added industrial companies, improving the business environment and strengthening corporate governance, and supporting the development of sustainable energy infrastructure and investments in mining projects with high standards of environmental and social protection.