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WB’s loan is of importance to Belarus, vice premier says

Belarus will use the World Bank’s $200-million Development Policy Loan (DPL) to fund its efforts in overcoming the effects of the global economic crisis, Deputy Prime Minister Andrey Kabyakow said at an inking ceremony for the loan agreement held in Minsk on December 3.

The loan is of importance to the country, Mr. Kabyakow said.

Belarusian Finance Minister Andrey Kharkavets and Martin Reiser, head of the World Bank's office in Ukraine, Belarus and Moldova, signed the accord at the ceremony.

Mr. Reiser described the year 2009 as a fruitful period for the WB’s cooperation with the country.

He said that WB stockholders had warmly welcomed the gradual economic liberalization strategy carried out in Belarus.

The WB Board of Executive Directors on December 1 approved the DPL for Belarus. The loan is intended to support the Belarusian government’s economic program aimed at addressing the social impact of the crisis and advancing the structural reforms to help enable a sustained economic recovery, the World Bank said in a statement.

The single-tranche loan has a maturity of 16 years, including a six-year grace period. The loan proceeds would be made available to the borrower "upon loan effectiveness."

The WB is expected to transfer the funds in the next couple of days. //BelaPAN