IMF Executive Committee Does Not Give Positive Estimation To Situati

IMF EXECUTIVE COMMITTEE DOES NOT GIVE POSITIVE ESTIMATION TO SITUATION OF
CUSTOMS AND TAX SPHERES OF ARMENIA

YEREVAN, DECEMBER 18. ARMINFO. During the Dec sitting IMF Executive
Committee did not give positive estimation to the situation in the
tax and customs spheres of Armenia. IMF Resident Representative to
Armenia James McHugh stated in the interview to daily “Republic of
Armenia”. According to him, it seem that the affairs in this sphere
are not so good as they could be.

Mr. McHugh expressed an opinion that in today Armenia the most
anxiety is aroused by the low level of tax collection which creates
problems in the budgetary sphere. He stated that this problem is
directly connected with corruption phenomena. According to him,
IMF has agreed with the government of Armenia for introduction of
new software and systems in tax and customs bodies. They will allow
to estimate the impartiality of amounts of fixed payments. The IMF
initiates elaboration of a code of behavior of an agent of customs
service and a department is established which will carry out a control
after clearance. Another innovation must bring to minimum the direct
contact of freight forwarders and recipients with customs officials.

At the same time James McHugh informed that IMF task group will visit
Armenia in March of the next year, and it will prepare proposals
concerning a new credit program. By this period the fund will form
the list of the so-called preliminary actions whose fulfillment will
prove about the adherence to the government to the selected course
and it will include the arrangements for perfection of the tax and
customs spheres. Nevertheless, IMF executive committee members think
that Armenia has reached significant economic results and is following
correct way. James McHugh noted that Armenia remains in the list of
the state with low income per capita.

It should be noted that at the beginning of Dec IMF allocated the
last tranche to Armenia worth 9 mln SDR under the program PRGF worth a
total of 69 mln SDR. In total, during 10 years of cooperation IMF has
provided a credit assistance to Armenia worth a total of some $300 mln.

From: Emil Lazarian | Ararat NewsPress