Monday, October 4 2021 17:39

ArmInfo.The expenditures of the state budget of Armenia in 2022, compared to the approved state budget for 2021, in relation to GDP will increase by 1 percentage  point - up to 4.4%, or by about 338 billion drams. Current  expenditures will grow by almost 207 billion drams and will amount to  23.4% of GDP.

Thus, according to the draft state budget of Armenia, approved by the  government of the Republic of Armenia on September 30, the  expenditures of the state budget of Armenia in 2022, compared with  the indicator set in the state budget for 2021, will grow by 18.2% -  up to 2 trillion 188.4 billion drams, (27, 8% of GDP), instead of the  expected by the end of 2021 1 trillion 986.0 billion drams (28.2% of  GDP) and actual for 2020 1 trillion 894.6 billion drams (30.6% of  GDP).

Of these, 1 trillion 841.9 billion drams or 23.4% of GDP will be  directed to cover current expenditures, against the expected 1  trillion 762.2 billion drams or 25.1% of GDP by the end of this year  and actual 1 trillion 668.5 billion drams or 27% of GDP for 2020.  Operations on non-financial assets will amount to 346.5 billion  drams, against 216.3 billion drams in the budget approved for the  current year and 226.2 billion drams in actual for 2020.

About 84.2% of the total average annual expenditure in 2022 will be  current expenditures (in 2021 this figure was set at 88.3%). The  growth in current spending in 2022 will largely be driven by an  increase in government spending on social benefits and pensions. For  these purposes, next year, 8.3% or 44 billion more drams will be  allocated - up to 571.844 million drams, against 527, 873 million  drams laid down in the state budget for the current year and actual  559, 072 million drams in 2020. So, in 2022 it is planned to increase  the amount of the minimum pension and social benefits. However, the  rest of the main indicators used to calculate the state pension will  remain at the 2021 level.

In 2022, state budget expenditures on salaries, compared to 2021,  will increase by 3.9 billion drams, or 2.2%, to 184.9 billion drams.  The costs of paying interest rates will reach 213.6 billion drams,  against 194.7 billion drams this year. 141.1 billion drams will be  allocated to organizations as subsidies, against 122.4 billion drams  approved for the current year (an increase of 15.3% or 18.7 billion  drams).

In 2022, it is planned to allocate grants from the state budget for  65.4 billion drams, or 40.1% more, respectively, which is due to  expectations for excise payments to the state treasury, as well as EU  support programs. Allocations to communities next year will amount to  91.2 billion drams (4.1% of total expenditures and 1.2% of GDP),  against 82.5 billion drams in 2021.

It is planned to allocate 58.2 billion drams for the purchase of  goods and services by the 2022 budget, or 13.1% more than the  indicator set in the state budget for 2021 - in the amount of 329.6  billion drams (172.4 billion drams for the purchase of goods and  services) ...

The economic sectors will be allocated 240.1 billion drams or 3.2% of  GDP, against 174.5 billion drams or 2.7% of GDP for the current year  and 138.9 billion drams or 2.4% for 2020. General allocations to  public services and reserve funds will amount to 500.1 billion drams  or 6.4% of GDP, against 400.9 billion drams (6.3% of GDP) in 2021 and  344.3 billion drams or 5.5% of GDP for last year. Defense, protection  of public order, security and the judiciary will receive 518.9  billion drams or 6.6%, instead of 468.8 billion drams or 7.3% in 2021  and 539.2 billion drams or 8.7% of GDP in 2020 year.

In general, it is planned to allocate AMD 929.4 billion for the  social sector in 2022, against AMD 806.6 billion approved in 2021 and  AMD 872.2 billion actual for 2020, or 11.8%, 12,%, 14.1% GDP,  respectively.

The authorities will allocate almost 192.6 billion drams for  education, instead of 153.6 billion drams this year and 143.8 billion  drams for 2020 and 2.5, 2.4%, 2.3% of GDP, respectively.

581.4 billion drams will be allocated to finance the social  protection system, against 504.9 billion drams laid down for the  current year and 56.6 billion drams for 2020 or 7.39%, 7.9% and 8.8%  of GDP, respectively. ...

The healthcare sector will receive 122.7 billion drams, instead of  117.5 billion drams in 2021 and 148.2 billion drams in 2020 and  1.56%, 1.8% and 2.3% of GDP, respectively.

Recreation, culture and religion will receive 32.5 billion drams  (0.41% of GDP), against 30.6 billion drams in 2021 (0.5% of GDP) and  33.6 billion drams (0.2% of GDP) in 2020 ...

It should be reminded that on September 30, the RA government  approved the draft law "On the RA State Budget for 2022". So,  according to the document, by the end of 2022, GDP growth will be 7%  (from 6.5% expected by the end of 2021), nominal GDP, compared with  the program indicator for 2021, will grow by 635.9 billion - to  7.869.4 billion drams (from the expected 7,031.2 billion drams at the  end of the current year). The GDP deflator will grow by 4.6% (6.8% at  the end of 2021), 12-month inflation - 5.2% (7.4% is expected by the  end of this year), and average inflation will reach 5, 6% in 2022 (7%  expected in 2021).  According to the draft budget for next year,  state treasury revenues and official transfers in 2022 will amount to  1 trillion 946.2 billion drams (24.7% of GDP), against 1 trillion  656.9 billion drams (23.6% of GDP) expected by the end of this year  and actual 1trillion 560.7 billion AMD in 2020 (25.2% of GDP). At the  same time, tax collections and state duty to GDP will grow by 0.9  percentage points. - up to 23.4% and will amount to 1 trillion 843.8  billion drams, instead of 1 trillion 581.0 billion drams (22.5%)  expected at the end of 2021 and actual 1 trillion 385.2 billion drams  for 2020 (22.4% of GDP). The deficit of the state treasury in 2022  will reach 242.2 billion drams or 3.1% of GDP, against 329.1 billion  drams or 4.7%, expected at the end of this year and 334 billion drams  or 5.4% of GDP for 2020.