Armenia will develop only when its exports double - economist says
21.10.2016,
16:43
Armenia will be able to develop only when the ratio of its exports to GDP will grow from the current 16% to 30%, an economist Ashot Tavadyan said at a conference today hosted by Armenia’s second largest city of Gyumri.
GYUMRI, October 21, /ARKA/. Armenia will be able to develop only when the ratio of its exports to GDP will grow from the current 16% to 30%, an economist Ashot Tavadyan said at a conference today hosted by Armenia’s second largest city of Gyumri. The theme of the conference was ‘Real threats and challenges of the Armenian-Russian strategic alliance.’
According to Tavadyan, the main goal is to double the current exports estimated at $1.5 billion, otherwise there will be no significant development because of a small domestic market .
He said when this goal is achieved the government will be able to solve social problems and beef up the defense capabilities of the armed forces. In his words, the largest portion of exports of goods with added value go to Russia, although in terms of value the exports to Russia and EU are the same, but the difference is that exports to EU are largely raw materials.
According to official data, the country’s exports totaled $815 million in Jan-June 2016 showing a 16.7% year-on-year growth, while its imports shrank 3.7% to $1 457.5 million. In the first six months of 2016 Armenian exports to the Eurasian Economic Union (EEU) surged by 83.7% to $174.6 million, with the bulk of $168 million going to Russia, an increase of 87.5%.
"This figure is encouraging suggesting that Armenian businesses have overcome the uncertainty in understanding the export procedures to EEU", - said Tavadyan. He reminded that brandy and agricultural products traditionally dominate Armenian exports. -0-
According to Tavadyan, the main goal is to double the current exports estimated at $1.5 billion, otherwise there will be no significant development because of a small domestic market .
He said when this goal is achieved the government will be able to solve social problems and beef up the defense capabilities of the armed forces. In his words, the largest portion of exports of goods with added value go to Russia, although in terms of value the exports to Russia and EU are the same, but the difference is that exports to EU are largely raw materials.
According to official data, the country’s exports totaled $815 million in Jan-June 2016 showing a 16.7% year-on-year growth, while its imports shrank 3.7% to $1 457.5 million. In the first six months of 2016 Armenian exports to the Eurasian Economic Union (EEU) surged by 83.7% to $174.6 million, with the bulk of $168 million going to Russia, an increase of 87.5%.
"This figure is encouraging suggesting that Armenian businesses have overcome the uncertainty in understanding the export procedures to EEU", - said Tavadyan. He reminded that brandy and agricultural products traditionally dominate Armenian exports. -0-
