5% economic growth needed in Armenia to ensure positive social effect
YEREVAN, December 9. /ARKA/. A five-percent annual economic growth is necessary in Armenia for ensuring a positive social effect, Gohar Gyulumyan, a senior economist at the World Bank and World Bank Co-Task Team Leader of the Project, said Friday at a news conference.
In her words, the country’s latest economic indicators, which show decline in the economy, give little grounds for optimism in implementation of the program aimed at reduction of poverty and improvement of living conditions.
Gyulumyan said that poverty rate in the country remained almost unchanged in 2015 – it just went 0.2% down.
If Armenia wants to record significant achievements in reduction of poverty and solution of social problems, she said, it should reach a five-percent and higher economic growth.
According to the National Statistical Service, poverty rate in Armenia was recorded at 29.8% in 2015 – 0.2% lower than in 2014.
The total number of poor people in Armenia was 900,000, of which 310,000 of which live in penury and 60,000 in extreme penury – 19.4%, 8.4% and 2% of the country’s population respectively.
Armenia’s economic activity index rose 0.4% in Jan-Nov 2016, compared with the same period a year before.
In October 2016, compared with October 2015, the country’s economic activity dropped 7.8%.
The Central Bank of Armenia has changed its economic growth outlook downward – to 1.3-1.8%.
In the 2016 government budget, GDP growth is projected at 2.2% and in the 2017 budget at 3.2%.
In its latest forecast, the World Bank predicted zero economic growth to Armenia in 2016. The International Monetary Fund predicts 1.9% economic growth, the Eurasian Development Bank 2%, Fitch up to 2% and Moody’s expects a slowdown to 2.2%. -0---
In her words, the country’s latest economic indicators, which show decline in the economy, give little grounds for optimism in implementation of the program aimed at reduction of poverty and improvement of living conditions.
Gyulumyan said that poverty rate in the country remained almost unchanged in 2015 – it just went 0.2% down.
If Armenia wants to record significant achievements in reduction of poverty and solution of social problems, she said, it should reach a five-percent and higher economic growth.
According to the National Statistical Service, poverty rate in Armenia was recorded at 29.8% in 2015 – 0.2% lower than in 2014.
The total number of poor people in Armenia was 900,000, of which 310,000 of which live in penury and 60,000 in extreme penury – 19.4%, 8.4% and 2% of the country’s population respectively.
Armenia’s economic activity index rose 0.4% in Jan-Nov 2016, compared with the same period a year before.
In October 2016, compared with October 2015, the country’s economic activity dropped 7.8%.
The Central Bank of Armenia has changed its economic growth outlook downward – to 1.3-1.8%.
In the 2016 government budget, GDP growth is projected at 2.2% and in the 2017 budget at 3.2%.
In its latest forecast, the World Bank predicted zero economic growth to Armenia in 2016. The International Monetary Fund predicts 1.9% economic growth, the Eurasian Development Bank 2%, Fitch up to 2% and Moody’s expects a slowdown to 2.2%. -0---