Budget deficit of Armenia decreased by 4% in 2017

ArmInfo. The budget deficit of Armenia in Jan-Dec 2017 amounted to 266.7 billion AMD ($ 552.6 million), having decreased by 4% in the annual section, against growth of 13.4% in 2016.

According to the National Statistical Service of Armenia, the revenues of the Armenian budget accelerated the annual growth rate from 2.1% to 5.6%, while expenses, on the contrary, slowed the growth from 4.1% to 3.8%, amounting to 1237.2 billion and 1503.9 billion, respectively, AMD.

In the revenue structure, the share of taxes and duties increased year on year (from 2017 to 2016) from 92.2% to 93.6%, increasing 7.3% to 1158.1 billion AMD in absolute terms (against 1.1% growth for 2016g). In particular, the annual dynamics improved with the emergence of a downward trend in revenues from payments for the use of natural resources and the preservation of the surrounding environment - from 15.9% decline to 46.5% growth to 40.1 billion AMD, from customs duties - from 9.9% decline to 30.9% growth - up to 72.6 billion AMD, from the value-added tax - from 7.7% decline to 4.5% growth - to 408.8 billion AMD. At the same time, the upward trend with some deceleration kept revenues for the income tax from 6.7% to 2.6% to 341.3 billion AMD, the turnover tax from 28.7% to 19.9% to 18.3 billion AMD , targeted social payments - from 23% to 18.3% growth - to 15.8 billion AMD. Acceleration of the same annual growth rates was fixed in 2017 on revenues from the state duty - from 2.8% to 11.5% - to 37.1 billion drams, fixed payments - from 3.1% to 12.2% - to 3.6 billion AMD, excise The tax - from 22% to 37.8% - to 82.3 billion AMD. The annual dynamics worsened only for income from income tax - from 22.7% growth to 13.5% decline, the volume of which amounted to 109.98 billion AMD.

Against this background , such items as subsidies sharply entered the structure of budget expenditures:  by 6.6% to 112.8 billion AMD (against 4.7 times in 2016) and grants by 15.2% to 133.05 billion AMD (against 2.9% growth in 2016), along with the slowdown in the decline in the purchase of goods and services - by 4.9% to 154.3 billion AMD (against 37.6% decline in 2016). Expenditures on allowances and pensions slowed the annual growth from 3.6% to 1.5%, amounting to 411.1 bln drams, and on wages - accelerated growth from 0.8% to 2%, amounting to 145.3 bln. According to non-financial assets, the dynamics came out of 12 % decline in the 41.8% rise to 237.1 billion drams. Interest payments on state debt slowed the annual growth rates from 32.7% to 24.3%, amounting to 122.1 billion AMD, of which 63.9 billion - on external debt, with a sharp slowdown in growth from 34.2% to 13.7%.

The calculated exchange rate of AMD as of December 29, 2017 was 484.10 AMD / $ 1, and in January- December the average calculated exchange rate of the dram was 482.72 AMD / $ 1.