YEREVAN, SEPTEMBER 12, NOYAN TAPAN. An agreement on development of intergovernmental cooperation was signed between the Armenian and German governments on September 12. The document was signed by the RA minister of finance and economy Vardan Khachatrian and the head of the Unit of South Caucasus and Central Asia of Germany's Ministry of Economic Cooperation and Development Rolf Baldus. Under the agreement, the German government will provide 79.5 million euros to Armenia in 2007-2008, 74 million euros of which will be allocated for financial cooperation, and 5.5 million euros - to technical assistance programs. V. Khachatrian said that these funds will be spent on development of SME and mortgage crediting in Armenia, repairs of the Vorotan hydropower plants' cascade and the 2nd high-voltage substation in Gyumri, solution of other problems. In the words of R. Baldus, the German side expressed a willingness to launch the "community management for development" program in 2009, for which a total of 3.5 million euros will be provided. To recap, economic cooperation between the governments of the two countries was established in 1993. Since then the German government has allocated about 200 million euros to Armenia.

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