The Government initiated different programs (Actions) to address the economic and social impact of COVID-19.
Measures to defer certain payments, including taxes and social security contributions:
The beneficiaries are economic entities with positive credit and tax history. Every economic entity is entitled to receive only one of the following methods of assistance. SMEs can receive support by applying to one of the Armenian commercial banks or credit organizations to receive a loan for specific purposes (payroll, taxes, duties and mandatory payments, raw material, equipment, utility, food):
The terms are valid for loans equivalent of up to AMD 250 million (approx. EUR 462,167). Application: through banks and credit organizations.
Beneficiaries are resident economic entities or individuals with good credit and tax record, as well as cooperative farms representing agriculture sector. Support is provided in the form of interest rate subsidy; for cooperative farms – in the form of co-financing, including financial lease, is valid for all types of agricultural purposes.
Application: through banks and credit organizations.
Targeting SMEs, the resident economic entities with good credit and tax record (i.e. no administrative proceedings have been instituted against 365 days prior to the date of submission of the application), operating in the areas:
The applicant shall have:
Maximum loan amount: AMD 50 million( approx EUR 92,433), interest rate for the first two years is 0%, and 12% - for the third year.
Applications have to be filed with the Investment Support Center of the Ministry of Economy.
Project applies to SMEs with 2 to 50 employees, in the period from 01.01.2020 to 01.04.2020, and the actual wage fund did not decrease in the period under review.
Provides one-time grant, in the amount of the salary of every 5th employee.
Potential beneficiaries: more than 12,000 businesses.
The State Revenue Committee will process the application in an automated manner.
Beneficiaries are those individuals who were employed in the spheres listed below or were self-employed on March 13-30, 2020:
50% of the average salary of an employee in January-February, but not more than AMD 136,000(EUR 251), if the beneficiary worked full time, not less than AMD 68,000(EUR 126), Self-employed entities shall be supported at the rate of 10% of the turnover posted in the 4th quarter of 2019, but not more than AMD 136,000(EUR 251).
State Revenue Committee under the Government of the Republic of Armenia: online - the template of application
Support: one-time assistance in the amount of 10% of the turnover of goods, services provided in the first quarter of 2020, but not more than double the minimum wage.
Basic terms and conditions:
Beneficiaries are those business entities that meet the criteria specified in the RA Law on State Support in the Sphere of Information Technologies,
As of 03.06.2020 under the first program of the 17th event, innovative grants of up to AMD 10 million (EUR 19,223) will be provided for the implementation of each winning project. The total budget of the 1st program is AMD 330 million(EUR 634,371), but if there are more projects selected by the commission, which will exceed the planned 330. million AMD, additional funds can be provided by the RA Government. Under the second program of the 17th event, up to AMD 20 million (EUR 38,446) will be provided for the implementation of each winning project. The budget is AMD 460 million (EUR 884,275), but if there are more projects selected by the commission, which will exceed the planned amount, additional funds can be provided . Under the third program, co-financing grants will be provided in the amount of 100% of the attracted investments, but no more than AMD 30 million(EUR 57,670) co-financing will be provided for each winning project. The budget of the tender is AMD 90 million (EUR 173,010), however, in case of more projects selected by the commission, which will exceed the planned amount, additional funds can be provided by the RA Government .Total budget for three programs is AMD 880 million (EUR 1,691,657).
The government will pay salaries to every fifth employee for those employers and companies that have saved their jobs and the payroll amount during the crisis.
As of 18.06.2020, the 20th Action covers areas that were included in the 8th program. This is the second opportunity to support employees in the most affected areas.
As of 17.06.2020, The State Revenue Committee informed about the start of 21st action of neutralization of the economic impact of the coronavirus (defined by the RA Government Decision No. 963-L of 15.06.2020).
The goal of the 21st measure is to support those taxpayers (2-100 employees) who did not decrease the employee fund calculated from March to May 2020 , or the decrease was no more than 5%.
As of 25.06.2020, beneficiaries: the citizens of RA who face social problems as a result of the difficulties in the labor market. One-time support with the amount of minimum monthly salary will be provided to citizens who have lost their jobs.
Grants for SMEs are available through a number of programmes.
COSME programme offers support for SMEs, clusters and business support organizations with trade opportunities, increasing competitiveness of Armenian enterprises, encouraging the development of entrepreneurship.
Valid until 21.12.2022 with total budget for grants € 165 434. Read more
EU-GAIA – EU Green Agriculture Initiative in Armenia.
The programme aimes to support the Northern provinces of Armenia through boosting green agriculture in agri businesses through to inputs, equipment, infrastructures and services.
Valid until 01.10.2024 with total budget for grants € 2 425 000. Read more
EU4BUSINESS INNOVATIVE TOURISM AND TECHNOLOGY DEVELOPMENT FOR ARMENIA.
The project has an overall objective to ensure shared and balanced inclusive growth in tourism and innovative industries. This will be achieved through: (1) transformative, innovative tourism ventures in the Northern regions of Armenia; (2) support to high tech and innovative entrepreneurs; (3) international knowledge exchanges for high tech researchers; (4) networks for the benefit of entrepreneurship culture for students and general population groups.
Valid until 31.10.2024 with total budget for grants € 3 375 000. Read more
Additional online services for SMEs: