ARMENIA NEEDS TO BOOST MORTGAGE MARKET TO STIMULATE CONSTRUCTION: PREMIER
ARKA
Feb 18, 2009
YEREVAN, February 18. /ARKA/. Armenia should boost mortgage market
to be able to maintain the current rates of construction business,
RA Prime Minister Tigran Sargsyan said today as he met with
representatives of local construction firms.
The premier stressed the importance of implementing government programs
for completing construction activities in the quake-hit area, the RA
Government’s press service reports.
The participants at the meeting discussed possible participation
in construction programs and the government’s assistance to those
initiatives.
They also touched upon current capacities, investment opportunities
and development prospects of the construction sector amid the global
financial and economic crisis.
In the past 10 years, construction was the motive force of Armenian
economy, Sargsyan said, emphasizing the role of overseas partners in
boosting the sector.
"The assessments you have got, the expectation and existing programs
are of crucial importance for the government," the prime minister said,
emphasizing the role of financial forecasts in the coming two years.
"You are well aware of the current situation in the market and know
what is in demand now," Sargsyan continued.
The premier suggested that the businessmen submit their proposals
to the government in order to get necessary assistance during the =0
Afinancial crisis.
Hailing the RA Government’s policy, the representatives of local
construction firms discussed possible cooperation with the government.
They expressed concern over the impact on the global crisis on
Armenia’s economy and construction business, pointing out lack of
credit funds, gloomy economic forecasts and the expected drop in
property prices.
The Armenian premier vowed staunch support to the owners of
construction firms and said the government is open to the new forms
of cooperation. He urged the businessmen to collaborate with the
Central Bank as well.
According to the RA National Statistical Service, Armenia posted 6.8%
year-on-year economic growth in 2008, with construction being 15.7%
of GDP.
Last year, capital construction rose 1.7% year-on-year to 824.4bln
drams ($2.7bln).
From: Emil Lazarian | Ararat NewsPress
