MINISTRY OF FINANCE
OF THE REPUBLIC OF ARMENIA

Head of Fiscal Risk Management Department

Contacts:

Phone: (+37411) 800-

The main function of the Department is to ensure the full and effective implementation of the powers assigned to the Ministry by the legislation of the Republic of Armenia,

within its competences, particularly from the perspective of the potential impact on the state budget:

1. assessment of the possibility of deterioration of the financial condition of companies with state participation as well as the assessment of the amount of additional unplanned government spending resulting from the deterioration from the perspective of specific (idiosyncratic) and systematic (systematic) risks;

2. Assessment of the probability and impact of the transformation of conditional obligations arising from public-private partnership (PPP) contracts into actual obligations from the point of view of idiosyncratic and systematic risks.

3. assessment of the probability and impact of the transformation of other conditional obligations assumed by the state into actual obligations from the point of view of specific (idiosyncratic) and systematic (systematic) risks;

4. assessment of fiscal risks (including creditworthiness) and development of possible negative impact reduction/control mechanisms for organizations operating in the infrastructural sector and in the domain of public services regulation, as well as receiving budget loans (subloans) and guarantees (hereinafter referred to as Organizations);

5. assessment of the probability and size of possible unforeseen additional state spending arising from legal proceedings against the state;

6. assessment of the amount of additional unplanned government expenses arising from the activity of the financial and banking system from the point of view of specific (idiosyncratic) and systematic risks;

7. assessment of the probability of occurrence of unfavorable environmental situations, as well as the amount of unforeseen additional public expenses resulting from it;

8. assessment of the probability and size of government additional spending under the circumstancesof the emergence of (probable) situations implying additional unplanned expenditures from the state budget in the areas not mentioned above;

9. assessment of the probability of occurrence of situations implying fiscal impact as a result of changes in the pension system and the amount of additional costs;

10. studying international experience in assessing fiscal risks and, if necessary, providing recommendations on creating the appropriate capacity.

The functions of the fiscal risk management department, according to the order N 291-L of August 22, 2022 submitted by the Minister of Finance of the RA.

The scope of professional knowledge of the fiscal risk management department, according to the order N 888-A of July 1, 2024 submitted by the Secretary General of the Ministry of Finance of the RA.