YEREVAN, August 29. /ARKA/. The ratio of Armenia's public debt to GDP was 47.2% in 2025, which is considered manageable, said the country's Finance Minister Vage Ovanisyan.
"This means we are far from a dangerous threshold," he said in an interview with Shant TV.
He recalled that in 2020, when the debt was 63% of GDP, and in 2021 it was 60%, the logic of fiscal actions was that the government should contain the growth of current expenditures and present a clear program on how it would reduce the debt to below 60%.
"Now different fiscal rules apply, and we have no restrictions," the minister explained.
Ovanisyan did not rule out the presence of risks, adding that they are being assessed, and a report on them is presented to parliament.
"This is reflected in our medium-term expenditure program document, in the budget document, and in the reports we are currently presenting," he said.
Speaking about the effectiveness of debt expenditures, Ovanisyan stated that, considering the economic processes of the last five years, these expenditures have mostly been effective.
"Thanks to them, we ensured leading GDP growth, we have economic development, and the welfare of our citizens is increasing. If we see that any expenditure is ineffective, we will not carry out those expenditures or will change the way they are implemented," the Finance Minister stated.
About the public debt
According to Armstat, as of June 30, 2026, Armenia's total public debt amounted to $13,900.932 million, having increased by $8.476 million compared to May 31, 2026. In the structure of the total debt, $13,892.560 million is attributed to government debt (an increase of $8.424 million over the month), and $8.373 million to community debt (an increase of $0.052 million over the month).
Earlier, the Deputy Minister of Finance of Armenia, Avag Avanesyan, stated that the Armenian government aims to reduce the ratio of public debt to GDP to 45%.
The international rating agency S&P Global Ratings, in its August report on Armenia, indicated that the public debt of Armenia (excluding liquid assets) will remain generally stable at slightly above 40% of GDP in the medium term.
