YEREVAN, 28 October. /ARKA/. In 2025, Armenian authorities will work to ensure the projected 5.6% GDP growth, Central Bank Chairman Martin Galstyan said today, speaking at budget discussions in parliament.
‘The macroeconomic forecasts outlined in the draft 2025 state budget reflect the gradual elimination of factors that may impact high growth of the past years and formation of growth on stable long-term factors,’ Galstyan said.
According to his estimates, the goal in 2025 will be the preservation of economic potential and effective implementation of necessary structural reforms to stimulate growth.
‘Ensuring the economic growth envisaged by the government for 2025 will significantly depend on improving the investment environment, promoting exports, as well as implementing infrastructure projects n a timely and full manner,’ Galstyan noted.
The head of the Central Bank said that in this regard it is extremely important to consistently increase the role of capital expenditures, particularly regarding infrastructure projects.
‘Under the current geopolitical and economic uncertainties, there are significant risks for the stabilization of the factors determining the economic growth in terms of possible scenarios of the economic outlook. In this regard, it is welcome that the 2025 state budget indicates risks and uncertainties from the main forecasts,’ Galstyan said.
He pointed out that from the point of view of effective risk management it is important to have strict restrictions on the formation and use of the Reserve Fund of the government, aimed exclusively at covering additional financial requirements due to macroeconomic risks.
The spending part of the 2025 state budget is projected at 3 trillion 452 billion drams and the revenues – at 2 trillion 873 billion drams. The projected budget deficit is 5.5 per cent or 609 billion drams. The draft state budget envisages also an average inflation of 3.5%, and the ratio of government debt to GDP – at 53.5%. ($1 – 387.25 drams). -0-
