New Project to Replace Mortgage Interest Rate Compensation Program

Instead of the mortgage interest rate compensation program, we will announce a new initiative—a renovation program that will be beneficial for developers, citizens, and the state, requiring minimal or almost zero investment participation. This was stated by the head of Armenia’s Urban Development Committee, Yeghiazar Vardanyan, during a press conference.

He revealed that the essence of the renovation program lies in neighborhood development. The principle is to build new houses and then demolish the adjacent old buildings. Initially, a pilot program will be implemented.

“We will present more comprehensive information about this program soon,” Vardanyan clarified. He noted that there are 19,000 multi-apartment buildings in Armenia, over 60 percent of which were built before 1980 according to Soviet standards, making them obsolete and not compliant with modern standards.

“23% of these 19,000 multi-apartment buildings are panel buildings. This factor led to significant devastation during the Spitak earthquake,” the official added.