Tuesday, November 4 2014

 Proportional development of Armenia's regions will become a priority when implementing town planning projects in 2015, Narek Sargsyan, Minister of Urban Development said in the course of the parliament hearings on the draft state budget 2015, Tuesday.

The construction terms will be reduced to 2-3 years instead of the current 5-6 years, the minister said. He recalled that construction of 18 out of 54 facilities is completed yearly in average. In 2015 this indicator must be increased to 60%. 

"At present when the budget funds construction of schools, this process must take about two years," Sagrsyan said. 
According to the minister, in 2015, 6.410 billion drams out of 7.7 bln drams financing will be used for construction and repair of the educational, cultural and sport facilities. A big project of a medical center construction is due to start in Vanadzor.  The budget 2015 will cover 26 facilities, with construction of 22 ones being launched earlier. Construction of 18 facilities will be completed next year. Among new facilities, the minister outlined the construction of schools in the towns of Meghri and Agarak, a sports facility at the Economic College in Vanadzor, and a cultural facility. 

First Deputy Minister of Finance Pavel Safaryan, in turn, said the construction sector will receive 11 billion drams budget allocations in 2015: 5.570 bln drams for construction and repair of education facilities, 557 million drams for construction and repair of sports facilities, 285 mln drams for construction of cultural centers, and 300 million drams for repair of the cultural monuments. The budget will provide 185 mln drams for repair of the buildings and engineering facilities of the Public Television and Radio, 2 bln drams for housing construction of the citizens of Yerevan living in the accident-prone buildings, and another 500 mln drams will be provided for housing of the families of the killed servicemen and disabled veterans of the Karabakh War. 

On Sept 25 the Armenian Government approved draft national budget 2015, with 4.1% GDP growth and deficit equal to 2.34% of GDP.  According to the budget, in 2015 GDP will make up 4.867bln AMD, revenues 1.184bln AMD or 24.33% of GDP (4.3% more than in 2014), expenses 1.298.6bln AMD (26.38% more than in 2014). Tax revenues will make up 95.5% of all revenues or 23.24% of GDP. GDP deflator will make up 3.3%, average annual inflation 4%, deficit 2.34% or 114.1bln AMD. National debt will total $4.953bln, wherein foreign debt will make up $4.129bln.  Defense will get 21.4% of expenses, social sector and culture 47.9%, economy 9.1%. Industry is expected to grow by 3.7%, agriculture by 4.2%, construction by 2%, services by 4.5%.