ACCORDING TO VARDAN KHACHATRIAN, STABLE BASES EXIST FOR ARMENIA’S ECONOMIC DEVELOPMENT
Noyan Tapan
Jan 24, 2008
YEREVAN, JANUARY 24, NOYAN TAPAN. The main economic indices of Armenia
in 2007 show that the country’s economic development has stable bases,
the RA minister of finance and economy Vardan Khachatrian said at
the January 24 press conference.
He underlined the importance of high economic growth indices in
conditions of macroeconomic stability. These indices are conditioned
by, among other factors, a balanced tax and budgetary policy in 2007.
The minister reminded that in 2007 economic growth made 13.8% in
Armenia – against the average economic growth of 12.6% in the past
three years. The growing investments also had an impact on this
economic growth: these investments made up 34.4% of GDP in 2007 (1
trillion 83 bln drams or 3 bln 166 mln USD) – against 33,6% in 2006 and
18.6% in 2000. The minister said that the economic growth is mainly
encouraged by contruction and service sectors, which contributed to
economic growth by 4.6% and 3.6% respectively in 2007.
It was mentioned that the consumer price index made 6.6% in December
2007 on the same period of 2006, while the average annual index made
4.4%. In 2000-2006, the annual inflation was mainly stable and did
not exceed 3.4%.
The minister announced that in 2007 the consumer price index in
Armenia was the lowest among CIS countries.
He added that in 2007 Armenia’s real GDP exceeded by 47% the 1989
level and threefold the 2000 level. By preliminary data, in 2007
nominal GDP made 3 trillion 140.4 bln drams or 981 thousand drams
(2.848.4 USD) per capita. In 2007 per capita GDP expressed in dollars
grew 3.3fold on 2003 and 4.8fold on 2000.
It was stated that in 2007 Armenia’s foreign trade growth made 40.7%
– against the average annual growth of 20.1% in 2000-2007. Foreign
trade grew 3.8fold in 2007 on 2000, exports – 4.1fold, foreign direct
investments – 3.6fold, with their amount making 4 bln 500.3 mln USD,
1 bln 218.5 mln USD and 375 mln USD respectively. In 2007, exports
grew by 23.7%, while imports grew by 49.7% – agaisnt the average
annual growth of 23.1% and 19.1% respectively in 2000-2007.
In the opinion of V. Khachatrian, there are good bases in Armenia
for continuing the efficient macroeconomic management, and the focus
mill be on ensuring a high sustainable economic growth in the medium
term, reduction of unemployment and maintaning a controllable level
of inflation.