Government expects 2025 budget deficit to amount to GDP’s 5,5%

YEREVAN, OCTOBER 23, ARMENPRESS. The government expects the 2025 state budget’s deficit to amount to 5,5% of the GDP, finance minister Vahe Hovhannisyan has said.

“The 2025 budget’s deficit will be 5,5% of the GDP. But the deficit’s sums must be directed to capital expenditures or actions increasing the economy’s potential in the long-term,” he said in parliament during the debates of a bill on involving budgetary support loan.

The 2024 budget deficit is 4,6% of the GDP, higher than the projected 3. “But we set that level of deficit to fund highly important programs, and also to solve the social and housing issues of the forcibly displaced persons of Nagorno-Karabakh,” the minister said.

He stressed that in conditions of 483 billion drams of deficit the government carried out 700 billion drams in capital expenditures to improve the country’s economy and security infrastructures.