ARMENIAN PARLIAMENT APPROVES 2008 BUDGET EXECUTION REPORT

ARKA
June 12, 2009

YEREVAN, June 12. /ARKA/. Armenia’s National Assembly approved Tuesday
the report on the 2008 state budget execution. According to RA Finance
Minister Tigran Davtyan, the country was able to fulfill the state
budget with an excess amid the global financial recession.

"2008 was a specific year that started with an economic upturn in
Armenia and ended with a crisis. By end-2008, the economic situation
changed drastically, affecting the budget execution," the minister
was quoted as saying.

Despite the impact of the global financial crisis, Armenia posted tax
proceeds of 621bln drams, exceeding the parliament’s program thanks
to shrewd reforms.

Armenia’s Chief Treasurer and Deputy Finance Minister Atom Janjughazyan
said budget receipts totaled 746bln drams, with expenditures amounting
to 822bln drams. The budget deficit reached 71bln drams.

"Armenia reviewed the state budget in 2008, increasing receipts up
to 803.7bln drams and fulfilling them by 97.7%. Thus, real proceeds
amounted to 785.4bln drams, with internal sources censuring 770.4bln
drams worth proceeds," Janjughazyan added.

He pointed out a slowdown in foreign assistance programs, citing
citied up to 860.6bln drams worth budget expenditures (94.2%
fulfillment). According to the treasurer, foreign investors injected
some 51bln drams into programs in Armenia, against the expected 82bln
d rams.

According to Janjughazyan, Armenia’s state budget deficit totaled
57bln drams in 2008. ($1- 370.17 drams)