YEREVAN. – In 2012 the Government will implement measures to stimulate business development, and a part of the state budget will be directed toward the materialization of this policy, Armenian PM Tigran Sargsyan on Wednesday stated during his meeting with members of the Union of Manufacturers and Businessmen of Armenia.

He also added that the Ministry of Economy developed an industrial policy strategy, according to which 1.5 billion drams ($3,997,580 US) must be invested annually to support local businesses, and this would contribute to the export of local businesses’ goods and establishment of international ties. “On the one hand, we are trying to collect taxes, and, on the other hand, to spend them effectively to reduce social problems and poverty and develop the business environment,” PM noted.  

Sargsyan also informed that the Government submitted a large tax package to the National Assembly, with the objective of expanding Armenia’s tax base, and this would enable to collect more tax in 2012. “On the one hand, we need to reduce the budget deficit, but, on the other hand, not reduce spending. The only way to do that is by collecting more taxes,” PM maintained.    

Considering Armenia’s number-one problem to be poverty, to which the global financial crisis likewise contributed, Tigran Sargsyan noted that an important way to surmount poverty is increasing social benefits and pensions.