Vardan Oskanyan: two bad news
Political
NA PAP faction MP, former MFA Vardan Oskanyan wrote on his page of Facebook social network:
The end of the summer holidays is marked by 2 bad news for our economy: tax raise and state debt increase.
New law on "income tax", which is to come into force in the January of 2013, increases taxes, regardless of comments. For example, the employer has to pay 775 drams more for an employee receiving 100 thousand drams salary. It doesn’t seem a big deal, but taking into account that there are some work places having 50, 100 or more employees, this is a substantial amount of money for the employer, on annual basis.
But the problem is not that. The problem is government's way of thinking. Government members explain the increase by the deficit caused in the result of rounding some averaged numbers, in case of jointly paid social payments and income tax, provided by the new law. A question to the government: wouldn’t it be possible for that rounding to be in favor of business at least one time? It’d be a psychological boost, especially these days, when the economy is in a difficult situation, and businesses need that confidence and trust in the government so much. Government can (could) bring that minor budget deficit from shadows.
The second bad news: In the first 7 months of the year foreign state debt has risen by 5% without making any serious debts. The most concerning part is that government members already prepare the society, by their interviews and announcements, for taking new debt. Negotiations, on taking new debta are in process with Russia and USA: $0.8- 1 billion from the first, and $200 million from the second.
Refinancing of the existing debt also talked about, which, no matter how is explained, supposes debt increase. Let us not forget also that the long-awaited "North-South" road construction is also to be carried out by means of a loan- by the 500 million dollars provided by Asian Development Bank.
Armenia's national debt, this way, may soon cross the 50% threshold of GDB. Despite the large entries in form of debt, no significant changes occurred in the economy since 2009, on the contrary, people's living standards have fallen, poverty has increased. This is the only index of the fact that the government conducts a wrong policy, which is always spoken, but the government pretends not to listen. As long as the government does not change its way of thinking about development, the perspective of Armenia's stable development remains hazy.


















































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