Armenia plans to reduce budget deficit to 1% by 2030

Armenia plans to reduce the budget deficit to 1% of the GDP by 2030, finance minister Vahe Hovhannisyan has said.

He told lawmakers in parliament that the government envisaged 4,6% deficit for 2024 but it factually stood at 3,7%. “I’m glad that we didn’t do it at the expense of harming economic growth. In terms of 2025, a 5,5% deficit is envisaged, associated with early implementation of future expenditures. But at the same time we aim to gradually reduce the indicator,” he said. The move is also associated with restraining the spending for servicing the state debt.

“We plan to lower the deficit to 1% by 2030. I really hope that we will be able to succeed because this is associated, among others, to what extent we will be able to assess the efficiency of our expenditures,” he said.

Hovhannisyan said a specialized division has been formed in the ministry dealing with budget program assessment.