YEREVAN, June 11. /ARKA/. Armenia has maintained its status of a country with low debt burden and not a risky state in terms of servicing, Armenian deputy minister of finance and head of treasury Atom Janjughazyan said in responding the questions of parliament deputies on Tuesday.
“We will continue our policy of a planned growth of nominal national debt, which, yet, has no effect on comparative level of the national debt and allows to maintain control on he debt burden situation”, he said.
Janjughazyan stressed Armenia is still on the list of the countries with low debt burden due to its policies and early repayment of the Russian stabilization loan.
Under a government decree, $450 million from the euro bond issue were used for early repayment of the Russian stabilization loan worth $500mln, $50mln of which had been already repaid.
According to the head of the treasury, it is unreasonable to compare the national debt level with the social condition of the population. The debt level is formed by expense items of the budget based on priorities of the programs, he said.
Secretary of Prosperous Armenia party faction Naira Zohrabyan said the former cabinet failed to implement many economic programs and raised the national debt level, which led to migration, increased unemployment and poverty.
“The national debt is increasing, whereas living standards are dropping: the situation should be corrected quickly, otherwise it will lead to failed government economic policy”, she said.
According to ArmStat, total national debt of Armenia amounted to $4,560.37 million as of the end of April 2014, i.e. no change from the month before. The country’s foreign debt rose by $20.8 million over the reporting month to $3,887.9 million as of the end of April. –0–
