Economist: Armenia’s processing industry faces 5.3% decline in Jan-Nov 2015
18.01.2016,
11:44
Armenia's processing industry faced a 5.3% decline in 11 months of 2015, compared with the same period a year before, Gagik Makaryan, the head of the Union of Employers of Armenia, told journalists on Friday.
YEREVAN, January 18. /ARKA/. Armenia's processing industry faced a 5.3% decline in 11 months of 2015, compared with the same period a year before, Gagik Makaryan, the head of the Union of Employers of Armenia, told journalists on Friday.
In his words, food industry accounted for a 7.7% year-on-year decline in Jan-Nov 2015. Decline in drinks industry was recorded at 23% in basic metals at 15.2% and nonmetallic ores at 15.5%.
«Although Armenia's industry grows thanks to mining industry, as a whole, we have a considerable industrial decline because of slowdown in all other segments of the national industry,» he said.
He thinks GDP in Armenia shrank by $1 billion in 2015 against about $10.8% in 2014.
The economist also said that GDP growth depends on methodology of its calculation. In his words, now official data of GDP growth are gauged with using economic activity index, which waters the real things more than absolute figures.
Along with that, Makaryan pointed out also some segments of the economy that enjoyed growth in 2015.
He singled out the country's mining industry and agriculture as successful sectors (11.6% growth).
«There is no any progress in construction – there is glut in market supply,» he said. «The problem is caused to not only by a low purchasing ability, but also by a taxation policy that hobbles construction's development.»
In the government budget for 2015, GDP growth is projected at 4.1% and in the 2016 government budget it projected at 2.2%.
According to the World Bank’s latest forecast, economic growth in Armenia will stand at 0.8% in 2015.
The European Bank for Reconstruction and Development predicts 2.3% growth, the Eurasian Development Bank 2.0-2.5%, the International Monetary Fund 2.5% and the Asian Development Bank 1.2%. ---0----
In his words, food industry accounted for a 7.7% year-on-year decline in Jan-Nov 2015. Decline in drinks industry was recorded at 23% in basic metals at 15.2% and nonmetallic ores at 15.5%.
«Although Armenia's industry grows thanks to mining industry, as a whole, we have a considerable industrial decline because of slowdown in all other segments of the national industry,» he said.
He thinks GDP in Armenia shrank by $1 billion in 2015 against about $10.8% in 2014.
The economist also said that GDP growth depends on methodology of its calculation. In his words, now official data of GDP growth are gauged with using economic activity index, which waters the real things more than absolute figures.
Along with that, Makaryan pointed out also some segments of the economy that enjoyed growth in 2015.
He singled out the country's mining industry and agriculture as successful sectors (11.6% growth).
«There is no any progress in construction – there is glut in market supply,» he said. «The problem is caused to not only by a low purchasing ability, but also by a taxation policy that hobbles construction's development.»
In the government budget for 2015, GDP growth is projected at 4.1% and in the 2016 government budget it projected at 2.2%.
According to the World Bank’s latest forecast, economic growth in Armenia will stand at 0.8% in 2015.
The European Bank for Reconstruction and Development predicts 2.3% growth, the Eurasian Development Bank 2.0-2.5%, the International Monetary Fund 2.5% and the Asian Development Bank 1.2%. ---0----
