Updated at 22:06,23-05-2018

Putin warns Belarus over EurAsEC loan

Belarus must fulfill all of its obligations that it has taken in exchange for receiving financial assistance from the Eurasian Economic Community (EurAsEC)'s Anti-crisis Fund, Russian Prime Minister Vladimir Putin said at a meeting of the EurAsEC Interstate Council in St.Petersburg on Wednesday, BelaPAN said.

"The terms [of the loan] were discussed at the level of experts. We would like to draw your attention to the fact that these terms, which were approved by the Belarusian side and our experts, must be fulfilled in time," RIA Novosti quoted him as saying.

"We understand that this is not easy. But for the measures to be efficient, this must be fulfilled," Mr. Putin said.

Belarusian Prime Minister Mikhail Myasnikovich promised at the meeting that Belarus would fulfill all of its obligations under the loan agreement.

Mr. Putin noted that a $880-million tranche of the loan had been transferred to Belarus earlier this year and the disbursement of a $445-million tranche was under discussion.

The Russian premier described cooperation within the EurAsEC as a priority for Russia. He emphasized the importance for the member states to coordinate their economic policies amid an unfavorable economic situation in the world.

On June 4, the board of the Anti-crisis Fund approved the $3-billion loan for Belarus aimed at supporting the country's efforts to improve its balance of payments. Under the agreement, the loan was to be disbursed in six tranches within three calendar years. The first tranche was transferred to Belarus in June.

The 10-year loan has a grace period of three years and carries a floating interest rate set on the basis of the reference rates of the Russian Federation and Kazakhstan.