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The initiative aims to ensure harmony between the management of public investment programs and the budget process. At present, the management process of public investment programs is regulated by the procedure for identifying, developing, evaluating and prioritizing public investments stemming from the Law on Public-Private Partnership, and the budget process is regulated by the Law on the Budgetary System. Meanwhile, according to the RA Deputy Minister of Finance Vahan Sirunyan, the terms ‘public investment’ and ‘public investment program’ are not set in the Law on the Budgetary System.

“In practice, problems arise from the perspective of different interpretations. In particular, what is a public investment program, to what extent does it relate to budget programs, are they budget programs, etc.,” the rapporteur underscored and added that in order to avoid such problems, it is proposed to amend the Law On the Budget System by introducing the terms Public Investments and ‘Public Investment Program’ and clarifying the concept of ‘Budgetary Program.’

The initiative stipulates that the public investment programs may be included in the state budget as a separate budget program or measure.

Technical and editorial amendments also were made by the draft law.

The co-rapporteur, the deputy Narek Grigoryan presented the endorsement of the Standing Committee on Financial-Credit and Budgetary Affairs.

The draft law on Making Amendments and Addenda to the law on RA Budgetary System authored by the Government in the first reading was debated at January 22 NA sitting.