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The Messenger , Georgia
Dec 30 2008
Armenian expert concerned about crisis
By Messenger Staff
Tuesday, December 30
The Rector of the Russian-Armenian State University, Armen Darbinian,
thinks that Armenia is not undertaking serious and effective measures
to combat the effects of the world economic crisis in the country and
therefore its negative influence will continue in Armenia for a long
period.
Darbinian stated that in its first years of independence Armenia was
conducting a policy of substituting imports with a large local
production of consumer goods. The next step should therefore have been
the stimulation of export production, but this did not happen and the
country continued producing non-export compatible products.
The country's economic growth was determined by external factors
mainly, individual transfers into the country reaching the huge total
of USD 2-5 billion. Consequently the negative balance between export
and import has reached USD 3 billion.
Discussing the prospects of the development of the country, Darbinian
stated that the measures which were intended to stabilize democracy
and create a market compatible environment have failed. Now the main
direction of the country's development should be determined: either we
guarantee a democratic market economy or impose an authoritarian
market economy. He added that even the second option can bring some
positive results, as the example of Kazakhstan showed.
Armenia's former Foreign Minister Vardan Oskanian, commenting on the
current situation in Armenia, has stated that 10% economic growth in
Armenia was a success but due to the world crisis the most optimistic
current prognosis suggests growth could be 5% next year, whereas a
more pessimistic prognosis shows 2% decrease. Oskanian does not
exclude cutting the budget sometime in the middle of 2009. One of the
leaders of the Dashnak Tsutsun Party, Armen Rustamian, is against
developing the Armenian economy by opening the Armenia-Turkey and
Armenia-Azerbaijan borders at the expense of giving up Karabakh.
Dec 30 2008
Armenian expert concerned about crisis
By Messenger Staff
Tuesday, December 30
The Rector of the Russian-Armenian State University, Armen Darbinian,
thinks that Armenia is not undertaking serious and effective measures
to combat the effects of the world economic crisis in the country and
therefore its negative influence will continue in Armenia for a long
period.
Darbinian stated that in its first years of independence Armenia was
conducting a policy of substituting imports with a large local
production of consumer goods. The next step should therefore have been
the stimulation of export production, but this did not happen and the
country continued producing non-export compatible products.
The country's economic growth was determined by external factors
mainly, individual transfers into the country reaching the huge total
of USD 2-5 billion. Consequently the negative balance between export
and import has reached USD 3 billion.
Discussing the prospects of the development of the country, Darbinian
stated that the measures which were intended to stabilize democracy
and create a market compatible environment have failed. Now the main
direction of the country's development should be determined: either we
guarantee a democratic market economy or impose an authoritarian
market economy. He added that even the second option can bring some
positive results, as the example of Kazakhstan showed.
Armenia's former Foreign Minister Vardan Oskanian, commenting on the
current situation in Armenia, has stated that 10% economic growth in
Armenia was a success but due to the world crisis the most optimistic
current prognosis suggests growth could be 5% next year, whereas a
more pessimistic prognosis shows 2% decrease. Oskanian does not
exclude cutting the budget sometime in the middle of 2009. One of the
leaders of the Dashnak Tsutsun Party, Armen Rustamian, is against
developing the Armenian economy by opening the Armenia-Turkey and
Armenia-Azerbaijan borders at the expense of giving up Karabakh.