GOVERNMENT APPROVES MID-TERM EXPENDITURE PROGRAM

Armenpress
Jun 08 2006

YEREVAN, JUNE 8, ARMENPRESS: The government of Armenia has approved
today a mid-term expenditure program for the next three years. Deputy
finance and economy minister Pavel Safarian said this program will
serve as the basis for drafting next year’s budget.

Safarian said the mid-term program projects 6 percent real GDP growth
rate for the next three years and a 3 percent inflation. He said
budget revenues are projected to rise to 447 billion drams in 2007,
to 507 billion drams in 2008 and to 560 billion drams in 2009.

He said the share of taxes in the overall GDP will be rising 4-5
percent in the next three years. From 15.2 percent expected this
year they are envisaged to grow to 15.6 % in 2007 and to 16.6 percent
in 2009.

Government expenditures will be growing 47 billion drams in 2008
and 47 billion drams in 2009. The extra money will go to education,
health, defense and force bodies. The mid-term program is supposed
to go to parliament’s consideration before July 1.