Armenia's Finance Ministry cuts 2025 budget revenues and expenditures, lowers GDP growth forecast to 5.1%

YEREVAN. Dec 3 (Interfax) - The Armenian Finance Ministry has revised the 2025 draft state budget, lowering revenues and expenditures, and has worsened the economic growth forecast.

Armenia's GDP in 2025 is now projected at 10.891 trillion dram, down from 11.05 trillion dram in the draft budget that the government approved in September. Forecast GDP growth has been lowered to 5.1% from 5.6%, while average inflation stays at 3.5%.

Planned budget revenues are now 2.837 trillion dram, down from a previously forecast 2.873 trillion dram, expenditures are lowered to 3.441 trillion dram from 3.482 trillion dram and the budget deficit should be 604 billion dram or 5.5% of GDP.

Public debt will be 54.3% of GDP in 2025, down from a previous forecast of 53.5%.

Armenian Finance Minister Vahe Hovhannisyan said in parliament in Tuesday that the budget was revised "due to the need for the 2025 budget to reflect new realities that have arisen with the re-assessment of GDP and the exchange rate as of November 1."

The parliament has not yet decided when it will vote on the draft budget.