ARMENIAN ECONOMY TO RECOVER MUCH FASTER, MINISTER OF ECONOMY SAYS

Noyan Tapan
Feb 22, 2010

YEREVAN, FEBRUARY 22, NOYAN TAPAN. "The global financial and economic
crisis both worldwide and Armenia is starting to recede, and all of us
are in the mood for economic growth," RA Minister of Economy Nerses
Yeritsian said at the February 22 press conference. In his words,
the Armenian economy will recover much faster because in 2009 the
country’s government started to deal with various problems, including
making some investment for diversification of the economy.

He said that a 2.4% economic growth was recorded in January 2010 thanks
to several legislative amendments made last year. All those companies
which had invested more than 300 million drams (about million) did not
pay value added tax at the border for the technologies and equipment
imported for their production. Equipment of over million has already
been imported into Armenia, which, in the minister’s words, means that
"this year we will see the result of a growth in productivity".

Besides, financial assistance of about 14 billion drams was provided
to 50-60 small and medium enterprises in 2009. "These are rapidly
growing and export-oriented companies, that is, the result will also
become visible soon," N. Yeritsian underlined. According to him,
considerable sums were also spent on infrastructure which had an
impact on the economic growth indices.

As for 10.7% decline in construction sector in January 2010 as
compared to January 2009, N. Yeritsian noted that the government put
up limited resistance to that sector’s contraction. "The government
has neither intended nor tried to fully compensate for the decline in
construction. Investments in construction were limited to the amount
that would prevent any social consequences and this sector’s collapse,"
the minister said.

From: Emil Lazarian | Ararat NewsPress