The Armenian Government has revised the 2011 draft budget on the basis of the Parliament-made proposals. Next week, the revised draft budget will be submitted to the Armenian Parliament for approval at a special session.

MPs made a total of 616 proposals. According to the Government’s report, more than 1/3 of the proposals were accepted. The budgeted revenues and expenditures are 2.5 billion AMD (almost U.S. $6.7 million) more in the revised draft. The budgeted expenditures have for the first time exceeded 1,000 billion AMD (about U.S. $2.8 billion).

The budgeted revenues have increased due to grants. A new source of budget revenues, macroeconomic assistance grant of 1.2 billion AMD (over U.S. $3.3 million) will replenish the budget revenues. On the other hand, the Millennium Challenge grant has decreased by 330 million AMD (U.S. $900).

Also, subsidies for irrigation systems were reduced by 500 million AMD (about U.S. $1.4 million). The education budget has been substantially revised. The military and policing branch will get 6 billion AMD (U.S. $16.5 million) more, with 80% of the funds to be allocated to the RA Ministry of Defense.