ARMENIAN FINANCE MINISTER SAYS NEXT YEAR’S BUDGET TO BE MODEST, STRAINED AND STABILIZING

ARKA
September 10, 2009
YEREVAN

YEREVAN, September 10, /ARKA/. Finance Minister Tigran Davtian said
today next year’s budget will be modest, strained and stabilizing.

He was speaking at a recurrent government session that has approved
of a preliminary version of the textual part of a bill on 2010 State
Budget of Armenia and a timetable of budget discussions with prime
minister.

Tigran Davtian told Cabinet members that the ministry has completed
the greater part of the work for drawing up the budget that has not
yet numbers and major indices. He added that discussions with the
prime minister on next year’s budget will start from September 14.

"All ministries and government agencies are offered to submit their
proposals and suggestions that along with the draft budget will be
sent to the National Assembly’s approval,’ he said.

Tigran Davtian stressed that the next year’s budget will be modest and
built on a 1.3% GDP growth projection and a 2% deflator. He said it
is expected that 5.5% of next year’s budget deficit will be covered
by funds from internal and external sources.

"We shall be trying to gradually reduce the budget deficit and bring
it down to the previous years’ level. The 2010 budget will be modest
and strained and I would like to ask my colleagues to treat it with
understanding because we shall continue to work in the thrifty manner
in a bid to stabilize our economy. Therefore, the 2010 budget will
be stabilizing that, unfortunately, means cutting of some spending,’
he said.