ArmInfo. If the recent positive intentions in economy are kept, the growth of Armenia's economy activities may form more than the indication of 3,2 % set forth by 2017 Draft Budget, Vardan Aramyan, the Armenian Finance Mister, shared an opinion to journalists.
According to the Minister, all the risks related to the budget implementation, are estimated by the Ministry of Finance at two levels. According to the Ministry, the progressive temp of the economical growth in Armenia in 2017 will be preconditioned with such external factors, like global economy cgrowth for 1%, international pricing at stock markets, the oil price increase in the limits of 16-17%, and the rehabilitation of Russian economy. Any negative derivations of the scenario set by the Draft Budget 2017, will naturally impact the possibility of 3,2% GDP growth. Regarding the issue of the internal risks estimation, the Ministry of Finance pays a special attention to the behavior of society and industrial entities. The positive basis set out by the budget, should sound positively for investors. "If due to ay reasons the creation of business promotion tools turns impossible, that will impact the industrial entities and, consequently, whole the economy," Minister stated.
"However, the risks are oriented not only to the decrease of indicators, but also to increase. An example of a positive risk could appear such circumstances, which could not be forecasted. According to Aramyan, international financial stocks react victory in a very positive mode. All the indexes started to grow up, and as a result for example, the copper price grew from USD 4800 to 5600 per tone. "The basic prices indications for the copper fixed in the 2017 Budget are lower, and if this value remais the same in the next year, it will have a positive impact on Armenian GDR growth, securing an indication higher than 3,2%," Minister stated.
The 2017 Draft Budget estimates the GPD nominal growth at 5%, or AMD 5405 bln. The economy growth will form 3,2%, within the deflator index of 1,7 (which, according to the Ministry of Finance, this year will form around 2,4%), with a deficite of AMD 150,1 bln. The GDP deflator index is not set as per the end of the current year, and in 2017 this indicator will form around 101,7%. The balance part of the budget is planned to increase for AMD 27 bln up to AMD 1.210 bln in 2017, and the expenditures part should be decreased for AMD 13 bln down to AMD 1.360 bln ( according to the current rate - about USD 2, 87 bln). The incomes/ GDP correlation is 22,4%. In the revenues part USD 1.135 bln will be capsulated by taxes and fees ( versus AMD 1.065 bln in 2016), AMD 31 bln will be formed by grants (versus 31,3 bln in 2016), AMD 44 bln - other incomes (versus 25,8 bln in 2016).
