Thursday, June 18 2026 12:10
Alexandr Avanesov

RA Government to allocate AMD 1.634bln to fulfill financial  obligations to construction organizations

RA Government to allocate AMD 1.634bln to fulfill financial  obligations to construction organizations

ArmInfo. The Armenian government will allocate 1.634 billion drams to fulfill financial obligations to construction organizations implementing projects under subvention programs. The decision was made at the Cabinet meeting on June 18.

As RA Minister of Territorial Administration and Infrastructure David  Khudatyan noted in his speech, these programs concern 16 programs  being implemented in 13 communities across the country. The funds  will be transferred to regional administrations, which will then  redistribute them among the communities.  One program will be  implemented in the Aragatsotn region, three in the Ararat region,  four in the Armavir region, two in the Gegharkunik region, three in  the Kotayk region, and three in the Tavush region. The minister noted  that if these programs are approved, the total funding for subvention  projects in 2026 will amount to 7.3 billion drams.

The rationale for the draft decision emphasizes that the adoption of  the document is necessary to ensure the effective implementation of  programs aimed at developing the economic and social infrastructure  of the republic's communities. At meetings of the interdepartmental  commission for evaluating subsidy applications, 363 subsidy programs  were reviewed and approved in 2022, 273 in 2023, 242 in 2024, and 204  in 2025. These applications are primarily aimed at capital  investments in communities, specifically the improvement of streets,  parks, gardens, and playgrounds; the construction of water supply,  sewerage, and irrigation networks; night lighting; gasification of  populated areas; and the renovation of apartment buildings using  energy-saving measures.

Due to adjustments to several subsidy program projects due to  non-participation in announced tenders or the termination of  contracts for work due to poor performance, as well as the fact that  the 2025 subsidy programs were approved by the interdepartmental  commission late, with the last meeting held on October 29, 2025, it  became clear that most of the 2025 programs could not be completed in  2025. These programs, which are being implemented in 13 communities  across the country, are now required to be completed by June 30,  2027.