Defense spending rose: Armenian parliament approves budget report

The Armenian parliament approved the government's report on the execution of the state budget for 2025.

Document was adopted unanimously: 57 deputies voted in favor. Opposition factions did not participate in the session.

Budget revenues last year amounted to 2 trillion 886.5 billion drams (about $7.8 billion), which is about 12% more than the 2024 figure. The revenue plan was exceeded by 12.3%.

Growth in receipts was recorded for almost all main taxes. VAT collections increased by 21%, profit tax by almost 20%, income and excise taxes by about 12%. At the same time, receipts from customs duties decreased by 1.3% due to a reduction in the volume of international resale of goods in 2025. Turnover tax collections for small and medium businesses grew by 30%.

Budget expenditures amounted to 3 trillion 305 billion drams (about $8.9 billion), which is about 12% more than a year earlier. However, this figure was 4.2% below the original plan for 2025. The main reason was underutilization of funds allocated for capital construction by about 10%.

Social protection received 873.7 billion drams ($2.36 billion), defense — 678.8 billion drams ($1.84 billion), education — 319.6 billion drams ($864 million), healthcare — 165.8 billion drams ($448 million).

Compared to 2024, expenditures on social protection increased by 2.6%, on defense by 23.6%, on education by 38.4%, and on healthcare by 7.1%.

Source: Sputnik Armenia