Armenian state budget surplus increased by July 2019 at times - up to  $ 255.4 million

ArmInfo.The budget surplus of Armenia in the first half of 2019 amounted to 121.9 billion drams ($ 255.4 million), of which about 40% or 47.2 billion drams ($ 97.8  million) fell in July. In annual terms, this indicator increased by  33 times, and in the monthly - by 14 times, and in both cases with  the deficit at a surplus. As a comparison, we note that in the first  half of 2018 the budget was closed with a deficit, with an annual  decline of 90% and a monthly increase of 2.7 times (with the deficit  going to a surplus).

According to the RA Statistics committee, the annual budget revenues  of Armenia sharply accelerated growth from 4.3% to 25.1%, amounting  to 758.5 billion drams, while the dynamics of expenditures unfolded  from a 1.6% decline to 4.3% growth, amounting to 636.6 billion drams.  On a monthly basis, revenues increased by 31% to 149.9 billion drams,  while expenses decreased by 13.3% to 102.7 billion drams.

The annual increase in budget revenues is due to an increase in all  taxes, with the most significant increase in sales tax revenues - by  71.5%, income tax - by 69.8%, income tax - by 38.5%, VAT - by 35.5%,  excise tax - by 25.1%. The dominant items in the income structure are  the fees from VAT (262.2 billion drams), from income tax (over 233  billion drams), from income tax (166.1 billion drams).  Against this  background, in the expenditure side of the budget, the growth  recorded by all accounts looks much more modest. The highest annual  growth was noted in spending on social benefits and pensions - by  10.6%, on salaries - by 8.6%, and on the purchase of goods and  services - by 7.1%. Spending on subsidies grew by 4.2%, and on grants  - by 1.4%. Interest payments on the state debt increased by 7%,  reaching 73.1 billion drams, of which 39.5 billion - on external debt  and 33.6 billion drams - on domestic debt. Moreover, the annual  growth of budget expenditures on interest payments on external debt  slowed down from 20% to 12.1%, and on domestic debt - from 12.9% to  1.7%. In the structure of the state budget expenditures, social  benefits and pensions dominate - 218 billion drams, with a wide  margin followed by expenses on interest payments on the state debt,  on salaries - 72.3 billion drams, on the purchase of goods and  services - 61.8 billion drams.

Note that the average calculated exchange rate of dram in  January-June 2019 amounted to 484.16 dr / $ 1, and in June - 478.47  dr / $ 1. As of June 30, 2019, the settlement rate of the dram was  477.11 dr / $ 1.