{"id":133359,"date":"2021-05-05T10:58:09","date_gmt":"2021-05-05T10:58:09","guid":{"rendered":"https:\/\/armbanks.am\/2021\/05\/05\/249805\/"},"modified":"2024-12-15T13:44:11","modified_gmt":"2024-12-15T13:44:11","slug":"in-2021-armenias-public-debt-gdp-ratio-will-be-over-60-threshold-central-bank","status":"publish","type":"post","link":"https:\/\/armbanks.am\/en\/2021\/05\/05\/133359\/","title":{"rendered":"In 2021, Armenia&#8217;s public debt\/GDP ratio will be over 60% threshold- central bank"},"content":{"rendered":"\n<p><strong>YEREVAN, May 4. \/ARKA\/. <\/strong>In 2021, the ratio of public debt to GDP will be exceeding the threshold of 60%, said Chairman of the Central Bank of Armenia Martin Galstyan to ARKA news agency on Tuesday.<\/p>\n\n\n\n<p>Earlier, Minister of Finance Atom Janjughazyan said Armenia public debt in 2019 was below 50% of its GDP, but in 2020 it grew to 63.5%, exceeding the 60% threshold laid down in the fiscal rules.<\/p>\n\n\n\n<p>He added that the government needs to adopt a policy that will help bring the indicator down below 60%, which in terms of risks is relatively manageable.<\/p>\n\n\n\n<p>\u201cThere is a budget rule to take advantage of the exceptional case opportunity. We believe that there is no need for a sharp reduction in budget expenditures in terms of reducing the deficit. This process should be carried out slowly, since from the point of view of fiscal consolidation this may have a negative impact on the economy,\u201d Galstyan said at a press conference on Tuesday.<\/p>\n\n\n\n<p>Galstyan also noted that the budget rule provides for mechanisms which the government need to use to return to the predicted mid-term trajectory.<\/p>\n\n\n\n<p>According to the Eurasian Development Bank, Armenia&#8217;s public debt increased by 13.9% in 2020 to 67.3% of GDP from 53.5% in 2019. n 2020, Armenia borrowed $300 million from IMF. At the beginning of 2021, almost 75% of government debt was in foreign currency.<\/p>\n\n\n\n<p>Earlier this year Armenia sold a $750mn 10-year Eurobond. The 3.6%-coupon February 2031 bond was priced at 97.738 to yield 3.875%, or 280.2bp over mid-swaps.<\/p>\n\n\n\n<p>Bookmakers HSBC, JP Morgan and Citigroup set guidance at 4.125%-4.5%. Final books were over $2.5bn.<\/p>\n\n\n\n<p>According to the National Statistical Committee, Armenia&#8217;s total public debt as of January 31, 2021 stood at $8,024.878 billion, an increase of $56.391 million from to December 31, 2020. -0-<\/p>\n","protected":false},"excerpt":{"rendered":"<p>In 2021, the ratio of public debt to GDP will be exceeding the threshold of 60%, said Chairman of the Central Bank of Armenia Martin Galstyan to ARKA news agency on Tuesday<\/p>\n","protected":false},"author":1,"featured_media":157144,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":"","tstyn_error":""},"categories":[12139,9216],"tags":[15837,12344,13790,460],"class_list":{"0":"post-133359","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-economy-en","8":"category-news","9":"tag-armenia-2","10":"tag-gdp","11":"tag-public-debt","12":"tag-460"},"acf":[],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/posts\/133359","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/comments?post=133359"}],"version-history":[{"count":0,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/posts\/133359\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/media\/157144"}],"wp:attachment":[{"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/media?parent=133359"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/categories?post=133359"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/tags?post=133359"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}