Armenia's Air Carrier 'Armavia' Fails to Pay Debts; Companies Owe 47 Billion Drams

The bankrupt companies 'Nairit' and 'Armavia' owe the state 47 billion drams.

This was announced today in the National Assembly by the head of the State Revenue Committee, Davit Ananyan. He stated, 'Nairit factory owes 10 billion, while Armavia owes 37 billion. Approximately 9 percent of the 37 billion are collected 'air' taxes that have not been returned to the state.'

In total, currently, 181 companies are undergoing the bankruptcy process in Armenia.

It is worth mentioning that the National Assembly is discussing a draft law on changes to the Tax Code in an extraordinary session today, which will compel the Revenue Committee to return about 56 billion drams in VAT overpayments to taxpayers by the end of the year.

Ananyan also mentioned that out of these 56 billion, 5.3 billion is the state debt to those companies undergoing bankruptcy. 'In other words, we will return 50 billion to taxpayers, of which 1.4 billion will return to the state in the form of taxes,' the head of the Revenue Committee clarified.

Recall that on September 17, the Armenian government requested the parliament leadership to convene an extraordinary session on September 20 at 11:00.

Additionally, Armenia lost its only national airline after the bankruptcy of 'Armavia' in 2013. The bankruptcy process has yet to be completed.

Regarding 'Nairit', it is one of the largest enterprises in Soviet Armenia. After the collapse of the USSR, it was partially re-launched in 1992. In 2006, the state sold the factory to Rhinoville Property Ltd, which has never appeared before the public since then. The company had taken a loan from the CIS Intergovernmental Bank (which has also never been accountable to the public). The loan was not repaid, and in April 2010, the factory ceased operations. The bankruptcy process for the factory has also not yet concluded.