Pashinyan on economic reforms, subsidies to agriculture and industrialization
01.10.2018,
15:30
In a live Facebook broadcast Armenia’s Prime Minister Nikol Pashinyan said his government intends to make Armenia an industrial country and increase the efficiency of the state governance system.
YEREVAN, October 1. /ARKA/. In a live Facebook broadcast Armenia’s Prime Minister Nikol Pashinyan said his government intends to make Armenia an industrial country and increase the efficiency of the state governance system.
In his words, the process of transforming Armenia into an industrial country will be gradual. ‘But this does not mean that the government will ignore the agriculture. On the contrary, the authorities are going to support rural residents in every possible way,” Pashinyan said, adding that the government intends to subsidize agricultural activity in border villages. According to the prime minister, if a farmer has a land plot of 1-7 hectares, the government’s subsidy will be 60 thousand drams for each hectare.
Pashinyan also said that in order to increase the efficiency of the state apparatus, the number of official cars will be significantly reduced next year. At the same time, he said, the government will strive in every way to improve the quality and efficiency of the state apparatus.
Pashinyan also described the draft state budget for 2019 as inert, since it was drafted taking into account the logic and plans of the previous government. “However, even this circumstance will not prevent the solution of a number of problems. We will constantly adjust the budget depending on the specific results of our work,” Pashinyan said. The Prime Minister also added that the process of amending the Tax Code will be completed soon.
In conclusion, the Prime Minister noted that the government intends to extend the logic of the velvet revolution to the economic sphere as well. “We have created a platform for people to express their opinions. Now we are creating a level playing field for all so that everyone, to the best of their abilities and talent, are engaged in economic activity,” Pashinyan said.
On September 27 the government approved the draft budget for 2019 that calls for 1.5 trillion drams in revenue and 1.6 trillion drams in spending. According to the draft state budget for 2019, capital expenditures will grow to 3% of GDP, up from anticipated 2.8% in 2018. Tax revenues in 2019 are expected to make 1 trillion and 396 billion drams, which will enable the government to increase its spending to 1 trillion and 614 billion drams. The budget deficit is projected at 2.2% of GDP or about 150 billion drams.
Also 44% of the spending will be allocated to social and cultural sectors, 24% are earmarked for defense, security and public order protection, 12.3% will be provided to the economy, about 10% of the state budget will be used for servicing public debt, 3.2% will be provided as subsidies to communities and 5.8% will be given to state apparatus.
The 2018 budget calls for 1 trillion and 308 billion drams in revenue and 1 trillion and 307 billion drams in spending. The deficit is planned at the level of 156.9 billion drams. Economic growth for 2018 is planned at 4.5%, and inflation at 4% (± 1.5%). -0-
In his words, the process of transforming Armenia into an industrial country will be gradual. ‘But this does not mean that the government will ignore the agriculture. On the contrary, the authorities are going to support rural residents in every possible way,” Pashinyan said, adding that the government intends to subsidize agricultural activity in border villages. According to the prime minister, if a farmer has a land plot of 1-7 hectares, the government’s subsidy will be 60 thousand drams for each hectare.
Pashinyan also said that in order to increase the efficiency of the state apparatus, the number of official cars will be significantly reduced next year. At the same time, he said, the government will strive in every way to improve the quality and efficiency of the state apparatus.
Pashinyan also described the draft state budget for 2019 as inert, since it was drafted taking into account the logic and plans of the previous government. “However, even this circumstance will not prevent the solution of a number of problems. We will constantly adjust the budget depending on the specific results of our work,” Pashinyan said. The Prime Minister also added that the process of amending the Tax Code will be completed soon.
In conclusion, the Prime Minister noted that the government intends to extend the logic of the velvet revolution to the economic sphere as well. “We have created a platform for people to express their opinions. Now we are creating a level playing field for all so that everyone, to the best of their abilities and talent, are engaged in economic activity,” Pashinyan said.
On September 27 the government approved the draft budget for 2019 that calls for 1.5 trillion drams in revenue and 1.6 trillion drams in spending. According to the draft state budget for 2019, capital expenditures will grow to 3% of GDP, up from anticipated 2.8% in 2018. Tax revenues in 2019 are expected to make 1 trillion and 396 billion drams, which will enable the government to increase its spending to 1 trillion and 614 billion drams. The budget deficit is projected at 2.2% of GDP or about 150 billion drams.
Also 44% of the spending will be allocated to social and cultural sectors, 24% are earmarked for defense, security and public order protection, 12.3% will be provided to the economy, about 10% of the state budget will be used for servicing public debt, 3.2% will be provided as subsidies to communities and 5.8% will be given to state apparatus.
The 2018 budget calls for 1 trillion and 308 billion drams in revenue and 1 trillion and 307 billion drams in spending. The deficit is planned at the level of 156.9 billion drams. Economic growth for 2018 is planned at 4.5%, and inflation at 4% (± 1.5%). -0-
