RA Government separated 2010 macroeconomic risks from inflation risks – the latter were increased by a rise in gas pices, RA Finance Minister Tigran Davtyan told journalists on Wednesday. The Government also intends to compensate most vulnerable groups for the inflation risks.

According to him, starting May 1, 2010, the monthly welfare will be raised by AMD 3,500, and pensions by AMD 2,650. More than 525,000 pensioners are registered in Armenia, and welfare recipients number 110,000. Minster Davtyan noted that the reforms require an additional AMD 6-6.5bn, but will not be carried out at the expense of other budget items.

As regards financing sources, Davtyan pointed out the following three factors: increased tax revenues, improved administration and reserve funds.

A.G.