Cabinet should involve experts in economic policy development, Armenian expert says

YEREVAN, April 22. /ARKA/. Armenia’s economic growth constituted 11.7% in the first quarter of 2013; economic activity index was 8.7, Armenia’s prime-minister Tigran Sargsyan said at a National Competitiveness Fund Board-of-Trustees meeting Saturday.

The head of the government said the indicators for the first three months of the year were quite high.

In particular, industry growth was 15.8% compared to the same period of the year before. Agriculture and services grew by 2.3% and about 7% respectively.

“It should be noted that under the negative balance circumstances, exports growth rates are still almost three times higher than the import growth rates, mainly due to export-oriented industry strategy”, the prime-minister said as quoted by the government press office.

The government will continue using its instruments (loan funds, state security, tax preferences, and etc.) to assist private sector projects aiming at new jobs and exports, Sargsyan said. Some 20 projects have already bee approved, he added.

“The 2013 government budget was assessed on the basis of 6.2% economic growth, and it is overdone by about 7 billion drams (about 17 million dollars), tax receipts were overfulfilled”, Sargsyan said.

The prime minister also reminded of the last year total 7.2% economy growth and particular growth indicators for industry and agriculture having the highest share in the GDP. In 2012, agriculture grew by 9.3%, industry by 14.5%, water supply and waste management by 48%, wholesale and retail trade by 6%, transportation by 14%, finance and insurance by 23%. Construction was at a zero level in 2012 as compared to 43% slump since 2009. The government expects the construction field will start growing in 2013, Sargsyan said.

The head of the cabinet also said the budget deficit did not exceed 3% and inflation was within the planned 4% level in 2012. Armenia’s foreign debt constituted 37% of the GDP, still within the permissible limits, the premier said.

The government will continue its efforts to improve the business environment in the country, Sargsyan said.

Armenia has improved its positions by 18 points and ranked 32nd among 185 countries in Doing Business 2013 rating.  -0-