ArmInfo. The Armenian government will extend the validity of the Targeted Productivity Enhancement Program, but will reduce the amount of salary compensation and other equivalent payments to highly qualified specialists within the framework of the Targeted Program for Attracting Highly Qualified Specialists, and will narrow the circle of its beneficiaries.
On December 27, at a meeting of the Cabinet of Ministers, Economy Minister Gevorg Papoyan presented the relevant draft decision and recalled that in March 2020, the government approved the Targeted Productivity Enhancement Program aimed at increasing financial accessibility for businesses, modernizing production capacities and stimulating the import of new technologies in the Republic of Armenia. Assistance is provided in the form of a subsidy in the amount of 6-10% of the annual interest rate of the targeted loan or leasing.
From March 2022 to December 1, 2024, 6,559 contracts with a total portfolio of 341.8 billion drams were concluded within the framework of the program. In particular, the portfolio formed within the framework of the target program in 2022 amounted to 60 billion drams, in 2023 - 148 billion drams, in 2024 as of December 1, 2024 - 134.0 billion drams. Within the framework of the target program, as of November 1, 2857 entrepreneurs purchased new equipment.
In order to implement the target program, the Ministry of Economy signed a subsidy agreement with all banks operating in Armenia and other licensed financial organizations. The number of partner financial organizations within the framework of this program is 23.
Last year, within the framework of the target program, the subsidy amounted to 7.9 billion drams, in 2024, the planned budget funds are 16.3 billion drams. In 2025, it is planned to spend 19.3 billion drams. 82% of the portfolio formed within the framework of the target program (268.8 billion drams as of 01.12.24) was directed to financing small and medium-sized enterprises. The monthly subsidy is up to 1.5 billion drams.
The Cabinet of Ministers also made changes to the Target Program for Attracting Highly Qualified Specialists. In particular, it is proposed to reduce the amount of compensation for accrued salaries and other equivalent payments to highly qualified specialists to 10% instead of the current 20%, 30% instead of 50%, and 50% instead of 70%.
According to Papoyan, from January 2023 to December 1, 2024, 763 applications were received from about 60 organizations. At the moment, there are 45 beneficiary organizations, which employ 510 highly qualified specialists.
Companies engaged in financial and insurance activities, retail and wholesale trade will be excluded from the list of beneficiaries of the program.
