Tue, 24 February
10.1 C
Yerevan
USD: 377.84 RUB: 4.93 EUR: 445.25 GEL: 141.25 GBP: 509.74

Armenia’s budget remained in surplus through April, despite a projected deficit

YEREVAN, June 25. /ARKA/. Armenia’s budget remained in surplus through April, despite a projected deficit, according to World Bank’s Armenia Monthly Economic Update – June 2025.

Tax revenues (including mortgage-related income tax) grew 16.5 percent (yoy) in nominal terms in April. This was mostly driven by profit tax (up 16.4 percent, yoy) and VAT (up 33.5 percent, yoy) collection. Total expenditure grew 21.9 percent (yoy), driven by a 15.1 percent (yoy) increase in current expenditure, with higher interest payments (up 16.6 percent, yoy) and social spending (up 15.7 percent, yoy).

Capital expenditure more than doubled (yoy), mostly driven by defense spending. April saw a GDP surplus of 0.4 percent, bringing the cumulative surplus over the January-April period to 0.6 percent of GDP, compared with a projected deficit of 2.4 percent of GDP. The gap is driven by overperformance in revenue and underperformance in capital expenditure (ytd 

According to the Ministry of Finance, budget revenues for January-April 2025 amounted to 992.2 billion drams (an increase of 14.9% compared to the same period in 2024), and expenditures to 931.3 billion drams (an increase of 14%).  The resulting budget surplus of 60.9 billion drams was recorded, compared to 46.3 billion drams for the same period of the previous year. ($1 – 385.29 drams).-0-

spot_img

POPULAR

Euro fell 2.54 points against the Armenian dram, while the dollar and ruble also declined

The average market exchange rate for the US dollar to the Armenian dram, formed on the Armenian foreign exchange market as of February 19, 2026, fell by 0.74 points compared to February 18, to 376.94 drams.

Armenia’s public debt net of liquid assets will remain stable at 44% of GDP in the medium term – S&P

Taking into account the narrowing budget deficits and high nominal GDP growth, the international rating agency S&P Global Ratings forecasts that Armenia's public debt net of liquid assets will remain broadly stable at a moderate 44% of GDP in the medium term.

S&P Global Ratings Improves Armenia’s Rating Outlook to Positive

On February 20, S&P Global Ratings revised its outlook on Armenia from stable to positive, affirming its long-term and short-term foreign and local currency sovereign credit ratings at 'BB-/B'.

The credit and leasing portfolio of Armenian credit institutions in 2025 amounted to 659.7 billion drams

The total credit and leasing portfolio of Armenian credit institutions as of December 31, 2025, amounted to 659.7 billion drams, an increase of 13.96% compared to the same period in 2024.

Euro, dollar and ruble exchange rates against the Armenian dram have increased

The average market exchange rate for the US dollar against the Armenian dram, as of February 18, 2026, increased by 0.86 points compared to February 17, reaching 377.69 drams.

LATEST NEWS

spot_imgspot_imgspot_img