Armenia’s government should undertake serious steps to avoid economic issues because of coronavirus: economist

Iran and China make 9% in Armenia’s foreign trade and the spread of coronavirus may seriously harm Armenia’s economy, chairman of Union of Armenian Employers, economist Gagik Makaryan told the reporters today.

“Many functioning contracts may be suspended, new ones will not be signed which will hinder the supplies affecting Armenia’s economy. These countries are of critical significance for Armenia as they supply cheap products,” he said, stressing that it is critical issue as Armenia faces poverty and unemployment issues.

The economist also said that the reduction of tourism will also have a direct impact on small-sized business and services.

“The Armenian government must undertake certain preventive steps, which unfortunately we do not see yet. It was necessary to get familiarized from State Revenue Committee’s customs department from what regions the supplies from Iran and China are being made and whether these are coronavirus-hit regions or not. If they were so they should have immediately suspended the supplies, on the other hand the state could have assisted in avoiding financial consequences after the suspension of acting contracts as currently we are in force majeur situation,” he said.