ArmInfo.According to the Central Bank's estimates, we have a positive potential GDP gap. Chairman of the Central Bank of Armenia Martin Galstyan stated at the extraordinary sitting of the NA Standing Committee on Financial-Credit and Budgetary Affairs on November 8.
"The reality in 2024 will be arranged in such a way that the fiscal stimulus will be positive, which will create additional demand. And here we must be extremely careful that this additional positive impulse does not impede macroeconomic stability. That is, the main function of the Central Bank will be to counteract additional impulses coming from demand," he said.
Speaking about the proposal, the head of the Central Bank emphasized that the next year is extremely important in the context of timely, clear and high-quality implementation of capital expenditures by the government. "If it is not possible to increase the potential of the GDP, then simply the increase in demand will not create potential in terms of economic development, but will "turn" into inflation," he said.
At the same time, Galstyan mentioned the integration of compatriots from Artsakh in the context of the correct, competent use of human capital as a possible positive link. This, according to the head of the Central Bank, will open up the opportunity to have better economic growth, which to a certain extent will cover the positive GDP gap and will have a beneficial impact on the Armenian economy as a whole.
Today at a meeting of the parliamentary committee, Armenian Finance Minister Vahe Hovhannisyan announced that the government's current expenses will amount to 2 trillion 321 billion drams, and capital expenses - 710 billion drams.
Earlier, speaking at hearings on the draft budget, Galstyan expressed his concerns that the problem of underfulfillment of budget capital expenditures could not be resolved in 2024: "This year, the volume of underfulfillment of capital expenditures exceeded the volume of 2022, and there are fears that the situation will be repeated next year."
