Armenian economy vulnerable to external challenges- economist says
The vector of Armenia’s economic development requires certain adjustments as loans, grants and transfers are the main source of growth, Armenian economist Ashot Tavadyan said today.
According to him, the bulk of Armenian exports are raw materials and labor resources, while the domestic market consists of retail trade, construction, real estate and services.
‘This economic development vector makes our economy very vulnerable to external challenges", the expert said.
He said with this situation the main objective should be development of industries manufacturing export-oriented finished products rather than export of raw materials. He also said nanotechnology, IT industry, exports of strategic products have good development prospects because of Armenia's membership in the Eurasian Economic Union (EEU).
According to the National Statistical Service, Armenian exports in the first five months of 2015 stood at about $488.6 million, down 15.2% from the same time span of 2014, while imports were worth about $1.070.2 billion, a decrease of 38%. The resulting trade deficit amounted to $581.5 million. -0-