“It is like a game”
Former head of the RA Central Bank Bagrat Asatryan predicts that Armenia will end the year with 2-3% economic growth and 10% inflation.
He notes that while prices go down in all parts of the world, in Armenia it is the opposite and Armenians will be celebrating the New Year with less food on the table.
"You see more sad faces as you walk on the streets," says the economist without any hope that next year will be better."There are still no prerequisites for development next year," says Asatryan.
Bagrat Asatryan says the data released by the National Statistical Service serve as grounds to say that the country is in a bad situation. "When you look at the figures, it is clear that the country is in a deep economic depression. Yes, Armenia has 2.6% growth, but we all know that this is not growth. If we take last year's 14.5-15% downfall, this year we will live only 12% worse than 2008."
The industry growth doesn't motivate the economist and the latter says it is due to mountain metallurgy, particularly the sharp rise of world prices for copper and molybdenum. Bagrat Asatryan doesn't share the government's claims that the downfall in construction and agriculture is proof of economic diversification. According to him, the fall in construction is due to shortage of funding from shady flows and agriculture depends on God's will.
The former head of the Central Bank says the government's latest cadre reforms will not have any impact on the economy. He doesn't treat them seriously and says that any governmental reform must be corroborated in order to have a normal country. "Whereas the change of the mayor was more or less visible, nobody explained why the finance and economy minister were replaced. It is more like a game and not real reforms in the government."
