ArmInfo.Foreign debt load on Armenia's budget is far from the risk level so far, Deputy Minister of Finance, Chief Treasurer of Armenia Atom Jhanjugaszyan said during the parliament hearings on the implementation of the state budget of 2015, on May 23.
In his words, at the end of 2015, the foreign state debt of Armenia totaled 2 trillion 457 billion drams or $5 billion 79 million. The government's foreign debt accounted for $4 billion 317 million of the total state debt, while the internal debt accounted for $761 million of total. The debt load of Armenia is estimated as low, the deputy minister said.
Thus, the state debt to GDP ratio in the end of 2015 totaled 41%, while this indicator is considered as low if it is below 50% (this applies to the state foreign debt only). The average admissible level of the foreign state debt service in ratio to the budget revenues in the world is 22.5%, in Armenia it is 16%, Jhanjugaszyan said. The net-state debt to GDP ratio at the end of 2015 totaled 34%, when the admissible level is below 48%. The foreign state debt to the export ratio in Armenia 138% (the upper ceiling is 165%). The foreign state debt service to export ratio in Armenia totaled 12% in 2015 (the upper ceiling is 18%). The state debt interest rates to export ratio is 3% (the upper ceiling 12%).
Actually, Jhanjugaszyan said, the debt load of the country is not at a risky level. Nevertheless, the government is taking all the necessary steps to manage the state debt efficiently. In his words, Armenia fully and timely implements its liabilities. The state debt
has increased, as it was necessary to soften the consequences of the negative influence of external factors on the economy of Armenia.