YEREVAN, March 24. / ARKA /. The International Monetary Fund (MF) expects Armenian government’s budget deficit in 2014 to make a little over 2% of GDP, which will be an important stimulus for economic growth, according to head of IMF Armenia Mission Mark Horton.
He said the IMF expects Armenia’s spending this year to return to its natural rate, and the deficit will be much larger (than last year), exceeding 2% of GDP, which will be an important stimulus for economic growth.
He recalled that in 2013 the budget deficit was smallest and balanced, which was mainly due to the difficulties in the implementation of some large-scale spending programs, in particular the North-South transport corridor and a new legal regulation of the procurement process, the purpose of which was to make it clearer and more transparent.
This year’s budget calls for 1.135 trillion drams in revenue and 1.245 trillion in spending. The projected budget deficit is 110 billion drams or 2.3% of GDP; the current account deficit is projected at- 8.6%. ($ 1 – 414.54 drams). -0-
