The Armenian government has drafted a proposal to allocate $9.8 million to the Armenian National Interests Fund (ANIF) to cover its outstanding debts, according to Hetq.

The plan envisages the seizure of 3.7 billion drams (equivalent to $9.8 million at the Central Bank exchange rate) from the “Entrepreneur + State Anti-Crisis Investments” fund and transferring the amount to the state budget. Of this, 3.61 billion drams were recovered from four private companies in which the fund had previously invested as a co-owner. The recovery process began in August 2025, and the funds have already been returned.

Around 90 million drams of the 3.7 billion total represent the remaining balance in the fund’s accounts.

The “Entrepreneur + State Anti-Crisis Investments” fund was created to boost Armenia’s economic activity during the COVID-19 pandemic, support job creation, promote exports, and develop regions. The state is the sole participant and shareholder of the fund, which received budget financing and invested in various companies.

The government had set a maximum duration of 10 years for the fund’s operations, with the first five years dedicated to investments and the next five to asset liquidation. That second phase has now begun, and no new investments are being made.

Between 2021 and 2023, the fund invested about 6.6 billion drams in ten private companies and approximately $2.97 million in the EU-Armenia SME Fund. In 2025–2026, part of these investments—amounting to 3.61 billion drams—has already been recovered.

In February–March, the State Property Management Committee circulated a draft decision proposing that, after being transferred to the state budget, the 3.7 billion drams be provided as a grant to ANIF. However, the funds will not remain at ANIF’s disposal and will instead be used to repay its obligations.

ANIF has been undergoing liquidation since October 2025. As part of the process, a list of creditors has been formed, including the Prime Minister’s Office and the Ministry of Economy, each with claims of 1.8 billion drams, as well as ARFI CJSC with a claim of 100 million drams. Total liabilities amount to 3.7 billion drams.

The debt to the Prime Minister’s Office stems from a 2022 grant program under which completed work was not accepted, while funds transferred by the Ministry of Economy were deemed not to have been used in accordance with contractual purposes and were therefore recorded as debt.

ANIF also owes 100 million drams to ARFI CJSC, which it owns. In 2023, ANIF and ARFI signed a loan agreement under which ARFI provided the funds in 2024.

“The ANIF liquidation commission has included the total 3.7 billion dram debt in the interim liquidation balance sheet. In addition, ANIF has a further obligation of 51 million drams. In 2024, the government decided to redeem 1.7 billion drams worth of shares in the ‘Entrepreneur + State Anti-Crisis Investments’ fund and allocate the funds to ANIF as a grant after transferring them to the state budget. The 51 million drams represent the unused portion of that grant,” the publication said.

Thus, under the draft decision prepared by the State Property Management Committee, the 3.7 billion drams will be transferred to the state budget following another redemption of fund shares and then allocated to ANIF as a grant, to be fully used for settling its liabilities.