The 'LUYS' Foundation has analyzed the report on the execution of the Armenian state budget for the first half of 2026. The execution of state budget expenditures continues to be one of the most problematic areas. In the first half of the year, the overall execution rate of expenditures was only 83.2%, indicating an underperformance of 317.4 billion drams.
A significant portion of the underperformed funds is attributed to the programs of four ministries: the Ministry of Territorial Administration and Infrastructure, the Ministry of Labor and Social Affairs, the Ministry of Education, Science, Culture and Sports, and the Ministry of Defense, amounting to 59.5 billion drams, 58.9 billion drams, 56.2 billion drams, and 42.2 billion drams, respectively:
There has been a notably low execution of capital expenditures at only 56.4%, which has significantly decreased compared to the same period last year by 28.3%:
This situation indicates the presence of systemic problems in budget planning, program implementation, and management effectiveness.
