Armenia discusses report on 2010 budget

PanARMENIAN.Net - Among improvements the Prime Minister noted the progress in infrastructure achieved due to major public investments, creation of favorable conditions for M&S businesses, specific programs aimed at economy diversification, stimulated by the government.

The national budget revenues totaled AMD 780bln in 2010, what is 13% more than in 2009. AMD 67,4bln was allocated for the law enforcement and juridical activity. As compared to 2009, the police expenditure did not change. The expenses for public order provision totaled AMD 22,5bln. National security field received AMD 11,9bln while AMD 4,3bln was assigned for the rescue service.

Macroeconomic indices could be more favorable but for the unprecedented agriculture slump. Meanwhile, the GDP growth was 2,1% instead of the planned 1,2%. Inflation was 9,4%, mostly conditioned by two major factors: 2,4% because of the rise of world prices and raw materials and 5% due to the high price for agricultural products.

Besides, Armenia secured export growth by 1,2%. The budgetary deficit decreased promising to reach the planned index.

However, the state debt servicing arouses concerns of experts, specifically opposition representatives, who suppose that Armenian economy is in stagnation while the authorities do nothing to improve the situation.

Control Chamber chairman Ishkhan Zakaryan warned that a $3,3bln would be a heavy burden for the country and said that development of a strategy for its payment is under way.