Armenian Minister of Finance Vahe Hovhannisyan presented the draft state budget for 2025 at a government meeting on September 26. According to the draft, the government debt-to-GDP ratio is expected to reach 53.5% by the end of 2025.
Hovhannisyan noted that the fiscal policy for 2025 is designed with a focus on high levels of capital expenditures in the state budget. This affects the budget deficit, which is projected to rise to 5.5% in 2025. However, the medium-term plan aims to reduce the deficit to 3%, ensuring a sustainable level of debt.
The minister emphasized that the draft budget includes a deficit of $1.56 billion (609 billion drams). This significant figure reflects the government's ambitious plans for the country's economic and infrastructure development.
Experts note that the proposed budget demonstrates the Armenian government's efforts to balance stimulating economic growth through increased capital spending with ensuring long-term financial stability.
