AMD revaluation and economic activity caused a positive effect on the government's debt/GDP ratio which will be close to 50% by the end of the year, said Armenian Minister of Finance Tigran Khachatryan during the governmental hour on Wednesday.

He said that annual economic indicators were reviewed every three months.

"When we started discussing the 2022 budget, then we said that in 2021 the government debt/GDP ratio was 60.3%. We also talked about the goal of bringing that ratio to 60.2% by the end of 2022.

"Debt reduction was seen as a medium-term goal, but we could not expect to see such progress in one year. 

"First, economic activity is quite different from what we took as the basis for the government's medium-term program. The 9-month rate is 14.1%. By the end of the year, the rate will be close to that figure. This means that if everything had remained unchanged, and given the amount of debt that the annual program planned to raise, the government debt/GDP ratio should have fallen to a figure of less than 60%.

"Second, the revaluation of the AMD was fixed. A large proportion of the debt is in foreign currency, and if at the beginning of the year this figure was 70%, now according to revised data, it is 65% or less," the minister noted.

The minister sees no risks, explaining that all the circumstances in the medium term are projected.

"We allocate additional financial resources in case of emergencies. We believe that this measure should have a legislative regulation," Khachatryan added.