"There is significant deterioration of water and irrigation infrastructure in Armenia, as well as a high level of water loss. At the same time, increasing risks due to climate change pose serious challenges for the efficient management of the water sector and the sustainable development of agriculture," stated Nvard Vardanyan, Deputy Chairman of the Water Committee of the Ministry of Territorial Administration and Infrastructure of the Republic of Armenia. At the National Assembly session on June 18, she presented for the deputies' consideration the draft law "On Ratifying Framework Agreement No. CAM 1029 on Providing an Unconfirmed Credit Line Between the Republic of Armenia and the French Development Agency (AFD)."

According to the rapporteur, the agreement was signed in 2025. The loan project to be implemented totals approximately EUR 100 million, of which EUR 70 million will be directed toward the investment component for water infrastructure implemented at the national level—specifically for the Water and Irrigation Services Improvement Project (WISE), co-financed by the World Bank. Of the allocated funds, EUR 30 million will be directed to the project to be implemented in Syunik Province, which plans to rehabilitate irrigation systems, improve water resource management, and develop agriculture.

"Syunik Province has great agricultural potential, and as a state, we consider it our duty to initiate reform projects," emphasized Nvard Vardanyan. According to her, the project plans to carry out the rehabilitation and modernization of irrigation systems in the Sisian, Goris, and Meghri communities in phases, encompassing gravity systems, pumping stations, water reuse systems, and consultancy services.

The rapporteur added that the European Union will provide a grant of EUR 12 million 456 thousand, aimed at technical re-equipment and capacity building in the sector.

The positive conclusion of the Standing Committee on Financial-Credit and Budgetary Affairs regarding the draft law was presented by committee member Narek Grigoryan.