Statistics: In Jan-May 2016 budget deficit slackened growth to 56.6%

ArmInfo. In Jan-May 2016, the budget deficit of Armenia amounted to 76.4 bln AMD ($157.4 mln), with a 56.6% rise versus Jan-May 2015. According to the National Statistical Service of Armenia, the budget revenues grew by 1.2% to 441.4 bln AMD, and the expenditures rose by 6.7% to 517.8 bln AMD. As regards the monthly dynamics, in Jan 2016 the budget surplus totaled 21.3 bln AMD and in Feb 2016 the budget deficit was 35.3 bln AMD. In March the deficit declined to 23.8 bln, in April it grew to 26.5 bln AMD, in May it dropped to 10.8 bln AMD, amid 8.4% rise in revenues and 16.7% decline in expenditures (to 95.9 bln AMD and 106.7 bln AMD, respectively).

In the structure of revenues, in Jan-May 2016 the share of taxes and duties grew from 94.1% to 95.2% and in absolute terms it grew by 2.3% to 420.1 bln AMD (versus 0.6% growth a year before). In particular, the revenues from customs duties dropped by 18.1% to 20.5 bln AMD, those from VAT fell by 8.1% to 146.9 bln AMD, the shortfall in income taxes made up 34.9 mln AMD (versus negative 52.7 mln AMD a year before).

The revenues from turnover tax grew by 31.8% to 5.9 bln AMD, excise tax - by 28.3% to 21.8 bln AMD, target social payments - by 22.9% to 4.9 bln AMD, profit tax - by 22.8% to 58.3 bln AMD. In the meantime, the revenues from income taxes - by 6.5% to 125.9 bln AMD, revenues from state duties - by 4.4% to 11.8 bln AMD. The expenditures in all items demonstrate high growth rates, except for the expenditures on purchase of commodities and services, which fell by 36.9% to 57.04 bln AMD, and expenditures related to non-financial assets, which dropped by 15.8% to 11.7 bln AMD.

In Jan-May 2016 versus Jan-May 2015, expenditures on subsidies increased 4.4-fold to 43.7 bln AMD and the interest payments for the state debt - by 36% to 42.1 bln AMD, with 24.3 bln AMD of this amount being the interest payments for the foreign debt. In the structure of expenditures, 61.2 bln AMD was allocated for grants (up 8.1% versus Jan-May 2015), 164 bln AMD - for allowances and pensions (up 4.6% versus Jan-May 2015), 50.6 bln AMD - for salaries (up 3.2% versus Jan-May 2015).