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Armenia’s strategic alliance with Russia ‘affects macro-economic climate’ – minister

Ermenistan, Gündem, Rusya 30 Mayıs 2018
27

Armenia’s close strategic alliance with Russia essentially influenced the country’s macro-economic environment in 2017, the minister of finance said today, summing up last year’s budget execution.

Introducing the document at the National Assembly, Atom Janjughazyan also admitted that the private transfers and direct investments from Russia, as well as Armenia’s trade turnover with the country additionally impacted the “domestic macroclimate”.

Meantime he agreed that the Russian economy is heavily dependent upon the international oil prices.

“[Armenia] recorded a 7.5 per cent real economic growth instead of the estimated 3 per cent. That’s linked to the unpredictably high paces in Russia’s economy. The transfer dynamics, which is considered a really significant factor, has increased by 18 per cent.

It’s 663 US Dollars less now. Also the exchange rate between the [Armenian] Dram and the [Russian] Ruble is very important in terms of the trade turnover. Our exports increased by as much as 44.6 per cent. In addition, the national Dram appreciated [against other currencies],” he added.

Citing the budgetary forecasts for the coming months, the minister said that the government estimates a higher growth in revenues than envisaged by the law “On State Budget”.

“What the economic developments dictated us was that the revenue program was a little bit modest. The Government has now increased the estimated revenues and expenses. The latest addition was linked to foreign assistance-related expenses. Our total expenses thus amounted to AMD 1.5050 trillion, which tops the 2016 records by AMD 56 billion,” he added.

Tigranuhi Martirosyan

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