Vardan Bostanjyan: The 2020 Budget Project is a Pitiful Draft, Lacking Any Logic

I consider the 2020 budget draft to be pitiful and lacking any logic. This was stated by economist and former MP Vardan Bostanjyan in an interview with Tert.am regarding the 2020 budget draft. He disagreed with Prime Minister Nikol Pashinyan's statement that the 2020 budget is revolutionary.

“It seems as if it is impossible for the state to not have a budget, and therefore they have created a draft, but I see no logic in that budget in terms of the effectiveness of expenditures or priorities. It is simply throwing in some things,” he said.

Recall that Nikol Pashinyan described the budget draft as revolutionary, as it accurately reflects their promises. “Yes, this budget is revolutionary because it is the precise realization of that promise, which was not only pre-election but also pre-revolutionary. The planned capital expenditures for 2020 are 135.1% higher than the actual indicators of 2018. This cannot be called anything other than revolutionary. Moreover, it is important to note the pace: our average statistical income growth prior to the revolution was 7%. We have doubled this pace. Now our average statistical income growth is 14% instead of 7%. So, what about the revolution?” Pashinyan said.

According to Vardan Bostanjyan, the reason for the lack of logic is the absence of professionalism, and the worst part is that there is no desire to become professionals. While the economist welcomed the increase in income, he noted that he would like to see the country's security at a higher level, but in this regard, the budget does not inspire hope.

“Defense expenditures have remained almost unchanged, which is crucial for a country in a state of war or semi-war,” he stated.

Bostanjyan emphasized that a 4.9% economic growth is insignificant for the Republic of Armenia with such small turnover. When asked what citizens will have as a result of this budget and whether the quality of life will change, Vardan Bostanjyan responded, “It is clear that citizens will have nothing, but officials will have high salaries, and the tendency for citizens to emigrate will increase.”

It should be noted that the 2020 state budget draft anticipates 1.6 trillion (1,697,618,538.8 AMD) in revenue, expenditures of 1.8 trillion (1,880,186,389.83 AMD), and a deficit of 182 billion AMD (182,567,851.0 AMD).