Opposition MP on results of Armenian government`s social policy

ArmInfo. In its election and activity programs over the past seven  years, Nikol Pashinyan's government has promised economic growth of at least 7% per year, a 50% reduction in poverty, the elimination of extreme poverty, an improvement in the economic structure, equalization of the minimum pension with the cost of the food basket and the average pension with the cost  of the minimum consumer basket, raising the minimum wage to 85,000 drams, and, ultimately, ensuring universal happiness.

In reality, we have an increase in the poverty rate, a reduction in the average pension,  and the best pensioners can hope for is an increase in cashback on non-cash payments. This assessment was  made by opposition member of the Armenian National Assembly Tadevos Avetisyan.

Meanwhile, the following official indicators have been recorded over the past seven years: in 2017,  economic growth was 7.5%, and from 2018 to 2024, the average annual economic growth rate was 5.4%, a  decrease of 2 percentage points.

In 2018, the poverty rate was 23.5%, and the extreme poverty rate was 1%. According to the latest data  published in 2023, these figures, instead of being reduced twice and reset to zero, increased to 23.7% and  1.1%, respectively.

Furthermore, in the first quarter of 2018, the monthly cost of the minimum consumer basket per person was  61,355 drams, and in the first half of 2025, it was 81,681 drams, an increase of 33.1%. The average  monthly pension was 49,000 drams, an increase of 21%. The average monthly family benefit increased  from 31,350 drams by only 2,000 drams, or 6.4%. The increase in the minimum wage for the working poor  is close to the average inflation rate.

At the same time, the average pension is gradually decreasing, paralleling the decline in length of service.  In 2024, it was approximately 43,000 drams. Moreover, approximately 35% of pensioners are in poverty or  extreme poverty and receive disability benefits. Approximately 100,000 citizens with up to 10 years of  work experience also receive old-age or disability benefits, which average 36,500 drams.

Thus, the economist notes, to fulfill its programmatic promise, the government will have to increase the  average pension next year by 67%, or at least 33,000 drams, as the cost of the minimum consumer basket  has increased by approximately 6,000 drams since the beginning of this year, reaching 81,681 drams. The  minimum pension will also have to be increased by 21%, or approximately 8,000 drams, as the cost of the  food basket has increased by approximately 4,000 drams since the beginning of this year, reaching 44,152  drams.

Meanwhile, in order to conceal unfulfilled social promises, the Armenian authorities plan to increase the  maximum refund for non-cash pension payments by only 4,000 drams next year instead of 33,000.  Incidentally, there are no refunds for utility bills, which are the main expense item. Moreover, almost half  of benefit recipients and pensioners do not actually use these refunds. Moreover, the poverty rate has  remained virtually unchanged: in 2024 alone, the number of families receiving social benefits fell by 7,271,  or approximately 11%, the majority of whom are actually poor.

"As a result of various tightening measures adopted during this government's tenure, the number of families  receiving social benefits has fallen by approximately 40%, reaching 60,752 families, 65% of whom have  children. And this is despite the fact that the average poverty rate has remained virtually unchanged. The  average social security benefit for a family is 36,600 drams, which is approximately 2.5 times less than the  cost of even the minimum consumer basket per person. In fact, the targeting of social support is declining,"  Avetisyan notes.

Those receiving the minimum wage are also considered poor, since its amount is approximately 7,000  drams less than the cost of even the minimum consumer basket per person, he notes. "According to the  government's promise, the minimum wage should also be increased next year by 14%, or 10,000 drams.  However, this increase is also not included in the draft state budget for 2026," Tadevos Avetisyan  concludes.