ASIAN DEVELOPMENT BANK FORECASTS DECREASE OF ARMENIA’S ECONOMY GROWTH RATES IN 2007-2008

Arminfo
2007-03-30 13:01:00

The Asian Development Bank (ADB) forecasts a decrease of Armenia’s
GDP growth rates in 2007 to 10% and in 2008 – to 9% against 13,4%
in 2006, the Report for 2006 on the countries of Central Asia ,
placed on ADB’s site on March 27, says.

The Report notes that deceleration of the economy growth rates in
Armenia will be observed in construction , the area of services and
retail trade, that will serve a reason for GDP growth rates reduction
in whole. The Bank recommends to increase the volume of investments
in industry and agriculture to increase a labor productivity in
these sectors. The Report notes that a trade deficit these years
will grow, since the import rates leave behind the export growth
rates. Further reduction of diamond production volumes in the Republic
is forecasted. Along with it, increase of production volumes in the
mining and metallurgical areas of the country is expected due to
attraction of additional investments.

To note, the Asian Development Bank announced about granting a credit
to Armenia at the rate of $66 mln for restoration of the regional
highways and the water supply system outside Yerevan. Armenia has
become a member of the Asian Development Bank in September, 2005. Its
share holding in the Bank’s authorized capital makes up 10,557 shares
or 0,301%, and the voting authority – 24,266 shares or 0.55%.