Today in the joint sittings of the standing committees of the National Assembly the discussions of the Draft Law on the State Budget of the Republic of Armenia for 2021 continued.
The RA Minister of Finance Atom Janjughazyan informed the deputies that at the beginning of this year due to the coronavirus epidemic, and later due to the hostilities in late September, the amendments to the 2020 RA State Budget Law were based on the logic stemming from fiscal policy.
“Our fiscal policy is that in the context of the expected negative developments, we should make it possible to achieve economic development and economic growth at the beginning of the economic recovery and after it, which will allow solving the many and varied problems facing our country, moreover, solving them in the best way”, - Atom Janjughazyan emphasized.
However, according to the Minister, despite all these changes, the expenditure part of the budget has not changed, its level has been maintained. The Minister of Finance stressed that the reduction of expenditures in the budget cannot be assessed as a factor contributing to the recovery of the economy.
“During all the changes in the budget, the level of expenditures has been maintained, and the Draft Law on the State Budget for 2021 has maintained a level of capital expenditures that is sufficient for economic recovery and corresponds to next year's opportunities”, - Janjughazyan noted.
According to the 2021 budget, AMD 215 billion from the state budget is envisaged for expenditures on the implementation of capital programs, or 3.2% of the projected GDP. According to the Minister of Finance, this index is a historically high index.
According to the draft budget, AMD 1 trillion 628 billion is envisaged for current expenses. Minister Atom Janjughazyan informed that this level of current expenditures allows to fully fulfill the obligations undertaken so far.