Additional Half to One Billion Dram May be Allocated to
Social Payments
17-04-2009 17:30:00 | Armenia | Economy
Yerevan, April 17, Noyan Tapan. Additional half to one
billion dram may be allocated to social payments, said Armen
Hambardzumian, Minister of Labor and Social Issues, at the
conference “Impact of the Global Economic Crisis on Armenia” on
April 14 in Yerevan. The one-day conference was organized by the
Ministry of Labor and Social Issues, the United Nations, World
Bank and International Monetary Fund offices in Armenia.
Mr. Hambardzumian made a comprehensive report on “Social
Impact of the Global Economic Crisis and implemented measures in
Armenia” to the audience of 120 participants from Armenia and
abroad.
During the first two months of 2009 the unemployment rate
in Armenia increased, while the Gross Domestic Product decreased
by 3.7 percent compared to the same period of last year.
As Mr. Hambardzumian reported, the number of unemployed
reached 99 thousand people in April this year, while in last
January 82.2 thousand people were looking for jobs,.
17 663 people received unemployment benefits against 14 500
envisaged by the state budget in April of 2009.
More than 30 000 families were registered in the system of
social benefits by the first quarter of this year, 17215 out of
which became beneficiaries: about 6 000 families a month
received a right to benefits against 500 in January-February of
2008.
According to A.Hambadzumian, if the number of beneficiary
families and the number of receiving unemployment benefits
increase in such a pace, then the amounts allocated for social
spending might not be enough, and additional 0.5-1 billion AMD
may be directed to ensure social payments. The intended amount
of socials spending is equal to 39,2 billion AMD, 21 per cent
more than last year (7 billion AMD).
Meanwhile, the number of people included in different
social aid systems is 106 000, against 114 thousand envisaged by
the budget. This difference is appeared since 19 000 families
were removed from the lists, thanks to investigations revealing
the facts of unfair selection, said the minister, mentioning
that it is necessary to optimize the benefit distribution
system.