YEREVAN, December 14. /ARKA/. The government of Armenia has approved today a draft grant agreement between the ministry of finance and the German state-owned KfW bank to the tune of 5.3 million euros. The money will be used to assist the introduction of agricultural insurance scheme in Armenia.

Deputy finance minister Karen Tamazyan said the core of the project is to insure the agricultural sector against climatic risks.

According to him, in accordance with the agreement, the financing of the program will be implemented by Armenia and Germany on a parity basis. The funds will be provided in two disbursements. Earlier minister of agriculture Ignaty Arakelyan stated that about $5 million will be spent on the introduction of agricultural insurance in three years.

Every year, Armenian farmers sustain huge losses caused by hailstorms and late spring frosts. In 2018, some 885 million drams will be invested in a pilot agriculture insurance project. ($ 1 - 483.55 drams). --0-