
Pashinyan Assesses Armenia's Challenges; Says Karabakh Status Issue Should be Postponed
Armenian PM Nikol Pashinyan addressed a meeting of the parliament’s standing committees today regarding the country's current challenges and steps his administration has taken and will take to address them. Here are the main points:
- Armenia’s economy is witnessing a “boom” and has surmounted many of the challenges it faced because of the 2020 Artsakh war and the coronavirus pandemic.
- The government has removed most of the business monopolies, systemic corruption and has levelled the playing field in the sector.
- 148,000 new jobs have been created since he came to power in 2018.
- The government has introduced a flat income tax rate, leading to greater tax revenues.
- Pashinyan has made good on his election campaign promise to revive Armenia’s aviation sector, leading to more Armenian aircraft flying in and out of Zvartnots International Airport.
- Restrictions on gambling advertising have increased. The government plans to only allow people to place bets via their bank cards and accounts. The government wants to “red flag” chronic gamblers. Pashinyan said the government has yet to devise a policy regarding the collection of such personal data.
- The government plans to introduce a bill to the parliament introducing a mandatory annual individual income tax filing to take effect on January 1, 2024.
- Funding for education will increase by 70% in 2023 when compared to 2018.
- Public school teachers will have to be recertified every 3-5 years. No teacher will receive less than 90,000 AMD (US$225) monthly in salary.
- The government plans to build 300 schools and 500 kindergartens in Armenia by 2026.
- Funding for the sciences will increase by 154% in 2023 compared to 2018.
- Healthcare funding will increase by 87% compared to 2018. Only certified health workers will be able to work in the health care system in 2023.
- A voluntary certification system will be launched in the Police, the National Security Service, and the State Security Service, resulting in a doubling of salaries.
- Defense sector expenditures in 2023, compared to 2018, will increase by 113 % or 270 billion drams. In 2023, defense spending will amount to 509 billion AMD ($1.2 billion).
- The army will transition to a professional army.
- The Armenian government accepts the Russian proposal that any talks regarding the status of Nagorno Karabakh should be postponed. Now, there is objectively no possibility to agree on a status that will be mutually acceptable to all parties involved.
- At last week’s tripartite meeting in Sochi, Armenia proposed that the five-year mandate for Russian peacekeepers in Karabakh be indefinitely extended.
- The most important factor in guaranteeing the rights and security of the Armenians of Nagorno Karabakh is the presence of peacekeepers there, until reliable mechanisms and guarantees of security and rights are established.
- His administration is committed to normalizing relations with Azerbaijan and Turkey.
- Armenia faces a worsening demographic challenge. Social assistance will increase to families having three or more children.
- The government wants to achieve 7% economic growth in 2023.
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