Armenia not to see economic growth in 2009: Russian expert

“Armenia achieved major progress of macroeconomic indicators in previous years: the country came to a crisis fairly well prepared, with very low debt, very low inflation and a very decent level of fiscal deficit,” he said.

Freinkman said it gives quite a lot of opportunities to take any emergency measures to combat the crisis, however, this year there will be no “economic growth” and inflation will be higher than usual and situation with the lost balance will be “quite tense.”

“Some discussions have already begun, there is an understanding that one should take the politically annoying decisions primarily on ending monopolization of Armenian economy, opening up opportunities for foreign investments and diversifying opportunities for economic growth,” he said.

The expert said it is impossible to speak about resumption of sustainable economic growth in Armenia until the-afore said is done.

In January-June 2009, Armenia’s economic recession was 16.3 percent according to the National Statistical Service. The volume of the June GDP was 39.7 percent higher than that of May.

According to the state budget, Armenia’s GDP growth is projected at 9.2 percent and inflation 4 percent (± 1,5%) in 2009.

/Novosti Armenia/