The goal of the Armenian government in the coming years will be to reduce the public debt to below 45 percent. Minister of finance Vahe Hovhannisyan announced this during the debates on approving the report on the implementation of the 2025 state budget of Armenia at Tuesday’s session of the National Assembly.

According to Hovhannisyan, this will enable reducing debt repayment expenses in the structure of Armenia’s budget revenues from 12.1 percent to 10 percent. According to the minister, this, in turn, will allow more resources to be directed to initiatives in social development and human capital development.

Hovhannisyan noted that keeping Armenia’s public debt below 50 percent is one of the priorities of the government.

“In 2025, the government’s public debt-to-GDP ratio was 47.2 percent, down 0.5 percentage points from the previous year,” the finance minister added.

According to the official, the cost of Armenia getting debts has also decreased. The weighted average yield on government bonds placed in 2025 was 9.2 percent, which is 0.6 percentage points lower than the 2024 figure.

“Last year, the weighted average interest rate on government loans decreased by 0.3 percentage points,” Vahe Hovhannisyan concluded.