Armenia’s premier sure of 3-4 percent economic growth

Armenia’s cabinet has approved the Armenian government’s draft decision on the 2015 monetary policy program of the Central Bank.

Armenia’s Deputy Minister of Finance Vakhtantg Sirumyan said that the Central Bank’s assessments of the macroeconomic environment incorporated in the 2015 monetary policy program are in general conformity with the Armenian government’s priorities envisaged by macroeconomic programs.

The price rise during the first three-month period was in conformity with the forecasts. According to the draft decision, an economic decline of about 2% is expected in Armenia due to major economic fluctuations in Russia late last year and early this year.

Prime Minister Hovik Abrahamyan highlighted the fact and inquired about the reasons for an expected 2% economic decline.

He pointed out business activity.

“I am sure we have 3-4 percent economic growth in four months and we must stop empty talking. Certain political figure or forces want the government to fail and Armenia see an economic decline. But I am sure their wishes will not come true and we will ensure economic growth,” Mr Abrahamyan said.

The premier said he sees that the projects implemented and the calculations made over the past months do really demonstrate the economy’s progress.

“Our medium –term forecast for 2015 promises an economic growth of one percent, but I am confident it will be higher - two to three percent. If our planned projects are implemented – I am sure we will try to meet the 4.1% economic growth target laid out in the [State] Budget – we will do all our best to secure those figures. Understandably, there are regional problems, but that isn’t a reason for us to fail to try our best to record an economic growth in our country. Such is our approach,” he noted.

Addressing the problem, Vice Prime Minister Vache Gabrielyan cited the international forecasts which he said range between -3 and -5.5%. “Though in such circumstances there are high risks of economic growth, especially when it comes to the developments in agriculture, we find that the external risks signaling reduced growth are dominant,” he added.