YEREVAN, July 29. / ARKA /. The efficiency of tougher Western sanctions against Russia will depend on Russian authorities’ ability to reorient the country’s economic capacity, according to Mher
Shahgeldyan, an Armenian MP from the Country of Law party and deputy chairman of the Union of Armenians of Russia.
Speaking at a news conference today he argued that the negative impact of the sanctions will not be large ‘because Russia is on the road of transformation of its economy.”
Shahgeldyan admitted that Western sanctions against Russia could adversely impact the Armenian economy ‘because of its great dependence on remittances from labor migrants.’
According to the Central Bank of Armenia, more than $1.869.7 billion or 17.3 percent of Armenia’s GDP were remitted to Armenia in 2013 through banks, by almost 11 percent more than in 2012. The bulk of remittances - about 85.9%- came from the Russian Federation.
The United States and European Union plan to impose new sanctions against Russia this week, including penalties targeting key sectors of the Russian economy- energy, arms and financial sectors.
The EU is also weighing the prospect of levying penalties on individuals close to Russian President Vladimir Putin for ‘deepening Russia's role in destabilizing Ukraine.’ -0—