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168: Another failure. How much money has the budget lost because of this?

June: 15, 2026

These days, the performance of the last year’s state budget is being discussed in the committees of the National Assembly. Discussions started immediately after the parliamentary elections. And although the budget performance debates have lost their political significance after the elections, they still show how the ruling political force has broken many of its previous promises, including those related to the budget.

They will talk for days about the tax revenues circulating in the shadows, about bringing the previous looting to the budget, they managed to improve the level of tax collection by only 1.1 percentage points.

“We were able to in 2021 in comparison, to have an improvement in the tax-GDP ratio by 1.1 percentage points, of which we recorded 0.6 percentage points in 2025,” says the Minister of Finance.

This is the indicator that characterizes the fight against the shadow. It is about bringing money circulating in the shadows to the budget and preventing looting. But, as you can see, the index has not changed significantly. When the economy grows and the government is unable to collect adequate taxes from that growth, it means that part of the growth remains in the shadows, tax administration is incomplete, and the burden of the state budget falls on the shoulders of people and businesses that are already working in the legal field.

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In the last 4 years, the average annual improvement of tax revenue collection in Armenia was only 0.27 percentage points, which is even lower than the index recorded during the previous “robber” governments. They promised to increase taxes-GDP to 25 percent during this period. But they barely made it to 24.1 percent, underachieving by 0.9 percentage points. As a result, tens of billions of drams did not enter the budget. But no one is responsible for that.

It is not news that the efficiency of tax collection is determined not by how much tax is collected in nominal terms, but by how much tax is generated in relation to the GDP.

This is where the “progress” of the government is low. In 4 years, there was an improvement of only 1.1 percentage points, of which 0.6 percentage points were last year. In the previous 3 years, tax collection in the GDP increased by only 0.5 percentage points. In some years, the collection efficiency has even decreased, there has been an increase in shadowing. Let’s say in 2024 the budget promised an improvement of around 0.75 percentage points, an actual decrease took place.

If necessary, they will give a thousand reasons to justify what such “innocent” failures are the result of, but it is not an excuse and it does not increase the contents of the pocket of a socially insecure citizen.

They could not even reach the minimum 0.3 percentage point they set for the year, but they will talk for hours about the unprecedented performance of the tax revenues of the budget.

Of course, tax revenues have increased in nominal terms in these years, but they have increased primarily because, due to well-known external factors, independent of the will of the authorities, high economic growths have been recorded in Armenia. As a result of these increases, the GDP increased, contributing to the increase in taxes collected. Meanwhile, the results of the fight against lies and administration have been far from satisfactory.

Moreover, during this period, the recorded improvement of the tax collection index in relation to the GDP was not only at the expense of the administration, but also at the expense of increasing the tax burden on taxpayers.

In recent years, they have increased the widespread tax burden, especially on small businesses.

They doubled the turnover tax burden. Many businesses were removed from the field of turnover tax and transferred to the field of general taxation, which is much more difficult. Անգամներով, երբեմն՝ տասնյակ անգամներով տույժ-տուգանքներն են բարձրացել։ We are not talking about other aggravations. And after that, the efficiency of tax collection in the GDP improved by only 1.1 percentage points in 4 years.

This means that they have failed in their obligation to collect taxes in relation to the GDP. But they avoid talking about it. And they are trying to hide that fact behind nominal tax rates. In the case when it is more important, what was the level of tax collection in the GDP?

It is this indicator that they barely managed to increase by only 1.1 percentage points in 4 years. And it happened in a situation when high growths were recorded in the economy. There was economic activity, turnovers, sometimes even very sharp increases, sales and consumption volumes increased. But the tax system was not able to fully transform these increases into budget revenues and generate taxes from it. This means that the administrative reforms promised by the government have not been implemented, are delayed or do not work in the real economy.

When the authorities are unable to improve the quality of tax collection, they usually go for easier solutions: increase the debts or increase the tax pressure on the visible part of the economy. What the Armenian authorities have done. While the promised tax reforms could not be implemented, the debts have increased.

In the last 5 years, the government’s debt has increased by around 6.4 billion dollars.

During the entire history of the debt, it was 7.5 billion, in the past 5 years it was increased to 13.9 billion. They also increased the tax burden on business.

And the price of all that is paid by the citizen and the dutiful taxpayer.

HAKOB KOCHARYAN




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I asked Andranik Simonyan how the check-point of the National Security Service of RA looks like.

June: 15, 2026

Gegham Manukyan writes: “A little while ago, I sent a parliamentary question to NSS director Andranik Simonyan to find out how Zvartnots from the specially controlled area
The video recording made by the camera installed in the checkpoint of the border guards of the National Security Service of the Republic of Armenia at the airport appears on the Telegram page of the daily “Haykakan Zhamanak” owned by Pashinyan’s family.

Perhaps my questions are rhetorical, because the Armenian law enforcement system has long been serving Nikol’s power and whims.
an institution carrying out illegal activities.

By the way, this is not the first time that I refer to the National Security Service in a matter with such content. Many times in the National Assembly I spoke about the cases when for political purposes, specifically
the videos from the protected areas, from the RA National Assembly, from “Zvartnots” airport appear in the hands of the government’s propaganda machine.

P.S. by the way, I received many alerts that a few days before the elections, the military police who appeared at the RA border checkpoints
Based on the calculations, several thousand of our compatriots are banned from leaving the territory of Armenia, which is a gross violation of the law and is full of serious criminal consequences. Nicole tries them all on her
make him an accomplice to crimes.”

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A possible US-Iran deal would have a direct impact on South Korea

June: 15, 2026

Doctor of Political Sciences, Professor Vahe Davtyan writes: “A possible US-Iran agreement will have a direct impact on the security architecture of the South Caucasus.

The lifting of the naval blockade, the suspension of sanctions on Iranian oil, the unfreezing of at least half of Iranian financial assets and a number of other factors will inevitably affect the logic of the American presence in the Greater Middle East, including the Caucasus.

1. Tehran can rethink the TRIPP project or at least stop considering it as a “red line”. Under the conditions of the new configuration, TRIPP can turn into an important route for Turkey’s energy supply, which solves not only economic but also strategic problems. Currently, NATO’s agenda includes the creation of an autonomous fuel system in order to supply the alliance’s military infrastructure. This system also includes the construction of a new fuel infrastructure between Turkey and Eastern Europe (Turkey-Romania oil pipeline), which I wrote about the other day.

According to my prediction, in the near future, Washington will start promoting the Trans-Caspian gas pipeline project with new momentum, without which the entire energy-transport architecture that is being formed will become highly vulnerable. In this context, the South Caucasus can gradually turn into a structural element of NATO’s logistics system.

2. Under these conditions, an increase in supplies of Iranian energy carriers to Turkey is possible. Note that until 2026 At the end of July, a gas supply agreement with the annual volume of 10 billion cubic meters between Iran and Turkey is valid. in 2025 actual deliveries made about 7.7 billion cubic meters. Turkey has already expressed its willingness to extend the contract.

This can strengthen the competition in the Turkish market, weakening Baku’s negotiating opportunities in the framework of the energy dialogue with Ankara. The data is more than telling. in 2025 Turkey’s total pipeline gas import was about 57.9 billion cubic meters, of which 21.1 billion cubic meters came from Russia, 11.9 billion cubic meters from Azerbaijan, and 7.7 billion cubic meters from Iran.

3. The significance of the Caucasus is growing as an area of ​​intersection of the Middle East and Eurasian politics. If Iran partially leaves the regime of isolation, then the competition will not be moved to the field of its containment, but to the field of controlling the routes of movement of Iranian energy carriers and goods.

It automatically increases the strategic value of the South Caucasus for all external actors. In other words, the Caucasus is gradually ceasing to be a periphery of global processes and turning into a key platform of the ongoing struggle for the control of new logistics and energy flows.

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