Armenian expert: 11% in 7 months is not 11% already

Armenian expert: 11% in 7 months is not 11% already

2010-03-26 12:30:00

ArmInfo. 11% increase of pensions, announced by the government of
Armenia, may be actually "choked off" by inflation to a certain
degree, expert on the management issues, candidate of technical
sciences Harutyun Mesropyan said today when commenting on the upcoming
rise in gas prices in Armenia started April 1. To note, the country’s
government made a decision at March 26 session on increasing the base
rate of the labour pension by 2,5 thsd drams (or by almost 11%) from
November 1, 2010, as well as the social allowances by 3,000 drams
(about 15%) from May 1 to compensate the rise in gas prices. "The gas
price is currently rising, the prices will keep on growing during the
year, and the pensions will be increased just from November. That is,
the actual purchasing capacity of this increase will be not 11% but,
for example, 8 or 9%", Mesropyan said.

To recall, the gas price started April 1, 2010, will be increased in
Armenia from $154 to $180 per 1,000 cub m. The gas tariff for the
private consumers, using less than 10,000 cub m of gas per month, will
grow from 96,000 to 132,000 drams (about $335 at the current rate) per
1,000 cub m, VAT inclusive.