V. Bostanjyan: This is not quality growth

“Certainly, we have economic growth, and it is good,” member of Armenian parliament, Deputy Chairman of NA Standing Committee on Economic Affairs Vardan Bostanjyan told a press conference today adding that the economic growth is an indication that the current situation is not worse than 2009.

Meanwhile, the deputy noted that this is not quality growth resulting in increase in jobs and improvement in living standards, however, the lack of regress in itself is promising.

“Economic growth cannot be fixed in one or two months. A general conclusion on economic growth can be only drawn by a review of the situation at least for one year,” V. Bostanjyan said.

Economist and expert Vahagn Ghazaryan, in return, said that we have some growth as compared with the previous year, however, it cannot be unequivocally viewed as growth under 7-8 percent inflation, increase in Consumer Price Index.

“Under fluctuations in foreign exchange rates, prices grow progressively, while nothing of the kind takes place under opposite circumstances,” the expert said adding that even if monopolists cut prices, the prices all the same exceed the former level.

Mr. Ghazaryan said that fall in prices is observed in international markets but not in Armenia. Further increase in custom rates – by 20-25 percent, is observed in Armenia.

“This growth is temporary, short term. The long-term situation will be clear in a quarter only,” the expert said.