Interfax, Russia
April 29 2009

Armenian economy contracts 6.1% in Q1

YEREVAN April 29

Armenia saw its GDP decline 6.1% in the first quarter of 2008 compared
to the same period of 2008, Armenian Economics Minister Nerses
Yeritsian said at a press conference on Wednesday.

Armenian GDP grew 8.8% in the first quarter of 2008.

Yeritsian said Armenia saw the peak of the economic slump in the first
quarter.

Armenia will receive a large amount of budget and external financing
for the development of infrastructure in July and business activity is
expected to pick up, he said.

The country’s budget envisions GDP growth of 9.2% in 2009 and
inflation of 4% minus 1.5 percentage points.

The Armenian authorities have not announced plans to revise the
macroeconomic forecast. The Central Bank’s latest monetary and credit
policy says GDP could decline 3% in 2009 and inflation could be 5.9%.

The International Monetary Fund has lowered its forecast for the
decline in the Armenian economy in 2009 to 5% from 1.5%. The IMF said
Armenia could see zero growth in 2010. The IMF also predicted
inflation would total 3.6% in 2009 and 7.2% in 2010.

From: Emil Lazarian | Ararat NewsPress