Starting February 1, 2025, Armenia will launch a support program aimed at assisting individuals with unrecoverable loans. The program’s primary objective is to help borrowers transition out of informal (shadow) employment and restore their economic activity.
Eligible participants are individuals whose total loan principal does not exceed 1 million AMD as of the application date and whose loans have been classified as “unrecoverable” for at least three years.
To qualify, applicants must have formal, registered employment.
The support will be provided in the form of income tax amounts calculated from the participant’s salary, which will be directed toward repaying their unrecoverable loan obligations. The assistance will be granted for a maximum period of 24 months, starting from the first day of the month following their acceptance into the program.
This initiative represents an innovative approach to addressing financial difficulties while encouraging greater economic participation. It is a significant step toward resolving social and economic challenges comprehensively and sustainably.
