The regular Cabinet meeting of the Republic of Armenia took place today, chaired by Prime Minister Nikol Pashinyan.

The Government approved the bills on making amendments and supplements to the Law "On Remuneration of Persons Holding State and Public Service Positions" and related laws. The changes proposed in the package of bills are aimed at enhancing the efficiency of the public service system and ensuring a competitive public service. The proposed amendments aim to revise the existing remuneration system for individuals holding state and civil service positions (excluding services where remuneration is regulated based on performance certification). This involves adjusting base salary calculation coefficients and introducing new performance assessment regulations, thereby linking remuneration levels to actual work results—a key factor in enhancing work efficiency and the quality of public services. The adoption of this legislative package is driven by the need to improve the efficiency, consistency, transparency, and accessibility of civil service recruitment processes, as well as to simplify and digitize the procedures used to fill vacant civil service positions. The bill does not apply to services that already utilize a remuneration system based on performance certification. Among those exceptions are a number of security agencies.

As Deputy Prime Minister Tigran Khachatryan noted, the legislative package aims to consolidate the reforms initiated in the sector and deepen their implementation. The changes are scheduled to take effect on January 1, 2027. The bill will be submitted to the National Assembly for approval in accordance with established procedures.

Referring to the bills, Nikol Pashinyan noted that this is one of the most complex yet crucial reforms: "With these reforms, we are addressing an issue of strategic importance. To put it briefly, the goal is to strengthen the state and the state system—to reinforce the state itself and its status."

According to the Prime Minister, failing to implement this reform would mean condemning the Republic of Armenia to stagnation and continuing to subordinate state logic to corrupt logic. According to the Prime Minister, this reform is crucial for realizing the vision of a corruption-free system.

Nikol Pashinyan also emphasized the importance and necessity of the mandatory education component within that system.

The Government approved the bill "On Making Amendments and an Addition to the Tax Code of the Republic of Armenia," which aims to establish mechanisms for individuals to make gratuitous allocations—funded by the income tax they have paid—to non-governmental organizations, legal entities (or individual entrepreneurs) engaged in media activities, and political parties. The bill proposes expanding the scope of social expenses established alongside the personal income declaration system. Specifically, it proposes classifying monetary funds gratuitously transferred by an individual to NGOs, legal entities (or individual entrepreneurs) engaged in media activities, or political parties as social expenses. In addition, it is proposed to stipulate that the Government shall define the scope of the latter, the criteria applicable to them, the list of information to be submitted by them to the tax authority, and the procedure for the submission and publication of such information.

The Prime Minister highlighted the importance of the reform proposed by the decision, emphasizing: "I believe we are entering the next phase of democratic reforms, in which NGOs, media outlets, and political parties can benefit from public funding. Through this, we are also creating incentives for media outlets, political parties, and NGOs to promote the universal income declaration system."

The Government allocated 1,110,342.4 thousand drams to the staffs of Armenia’s regional administrations in order to fulfill financial obligations to the relevant construction companies for subvention programs. As noted by Minister of Territorial Administration and Infrastructure Davit Khudatyan, the decision proposes co-financing 25 projects across 19 communities in the country: 3 in Aragatsotn Province, 2 in Ararat, 9 in Armavir, 2 in Gegharkunik, 3 in Lori, 3 in Shirak, and 3 in Tavush. "With this funding, we will have co-financed subvention projects totaling 12 billion 11 million drams from the state budget 2026," the Minister stated.