THE HIGH EXCHANGE RATE OF THE ARMD HARMS THE PRODUCERS
Support A1+!“The ARMD rate is not important. What is important is that it must contribute to the development of the economy”, said economist Eduard Akhajanov today during the discussion with the theme “Economy and Currency Policy” in hotel Yerevan. He and member of the Central Bank council Vache Gabrielyan were the guests of the political debates club today.
According to the economist, the year 2004 was unique and dangerous for Armenia. Last year the quantity of import was more than the quantity of export. According to Akhajanov, the high exchange rate of the ARMD harms the producers. He offers to change the direction of the currency policy and to choose a new model of economic development.
According to him, it is necessary to have an economy based of knowledge, but every year the allotments to the science from the budget become less and less. If in 2004 it was 0.2% of the budget, in 2005 it was only 0.16%. The economist also complained that the Armenian banks are not in active participation in the economic processes.
As for Vache Gabrielyan, the priority of the Central Bank is the stability of costs. As for how the CB is able to realize that priority, that is another question. According to Eduard Akhajanov, nothing can be demanded from the CB today as it cannot do anything.
