In 2018, it will be necessary to implement a number of programs aimed at the proportional development of Armenian communities

ArmInfo. In 2018, it will  be necessary to implement a number of programs aimed at the  proportional development of Armenian communities. This was stated by  the Minister of Territorial Administration and Development David  Lokyan at a press conference in Yerevan on February 23.

According to him, these programs should be aimed at reducing  disparities in the calculation of GDP per capita between different  communities of the country. In 2017, in Armenia, on average, GDP per  capita was $ 3.521, which by the end of the year, due to economic  growth, increased by $ 300. At the same time, GDP per capita differs  markedly in different communities of the country. So, in Gyumri this  indicator is much lower than in Yerevan and in the communities of  Syunik region. With a view of proportional development of regions and  reduction of indicators of gross national product per capita in 2017  process of development and application by communities of the country  of the annual working plans in which the questions such as formation  of budgets, target use of expenses, effective management of own  property have reflected. All income of communities will be channeled  to the implementation of development programs. On the same  principles, they will develop their annual work plans and regional  governors. The state, in its turn, will develop such mechanisms, in  the application of which the communities will receive more funds from  the state budget while increasing their own incomes. The first step  in this direction has already been taken. In particular, if the  community implements capital expenditures of 50%, the state will  double this amount. Another problem that will need to be addressed in  2018 concerns the government subsidizing the economic programs of the  communities. With the consent of the country's commercial banks to  finance these programs, the state undertakes to subsidize 6% of the  loan funds. Since March this year, the implementation of this project  will begin.

Davit Lokyan reminded that in 2017 the state provided 5 billion AMD  to the local self-government bodies in the form of financial  assistance, which are aimed at financing 285 programs. Due to the use  of the e- procurement system, 1.4 billion AMD have been saved from  this amount of financing, which are aimed at implementing projects in  other communities - the cities of Jermuk, Vanadzor, etc.

All these measures, the minister continued, are aimed at boosting  economic activity in the country's communities. Credit and grant  funds of international structures and various states are sent for the  same purposes, the total amount of which exceeds $ 35 million. Thus,  USAID provided $ 10.6 million to the communities of Armenia, for  which 90 units of construction equipment were purchased - excavators,  graders, trucks, more 100 units of agricultural machinery - combines,  tractors. With the financing of the European Union, 8 pilot programs  are implemented in 10 million euros, which, if successful, will be  extended to all communities in the country, which will create about 1  thousand new jobs. In particular, in the Tavush region, the project  "Integrated Assistance to Border Communities" is being implemented,  as a result of which, only in 2017 55 hothouse farms, small wineries,  7 refrigeration units, dryers were built.  The intensive gardens are  divided in an area of 27.5 hectares, etc. There are already 9  families in the region who, having received financial assistance,  produce high-quality wine, part of which is exported to the Russian  Federation. The Amaziya community is launching a program to produce  wool yarn. The project drew the attention of 5 more communities of  the republic. Under the UN program for a $ 5 million grant in Tavush  region, a project to increase the capacity of the local population is  being implemented. Another UN program, funded by the Russian  government in the $ 3 million is aimed at developing in 60 rural  tourism communities.

As the minister stressed, by the end of 2018, 502 Armenian  communities will have their own specific economic programs and plans  for the development of the territories. At the heart of these tasks  will be the idea of program budgeting, which will be applied from  2019 onwards.