Kocharyan: Armenia needs higher growth rate; government should raise salaries and pensions

Ex-president of Armenia Robert Kocharyan told a news conference today that with the current rate of economic growth the country will not be able to resolve security issues.

YEREVAN, December 27. /ARKA/. Ex-president of Armenia Robert Kocharyan told a news conference today that with the current rate of economic growth the country will not be able to resolve security issues.

"Last year the GDP declined by 7.4 percent. This year, economic growth is expected to be about 4.2 percent. If it appears to be higher, it would just be pictured by the authorities," Kocharyan argued.

He also noted that according to a simple calculation, Armenia needs to ensure economic growth of more than 8 percent this year in order to achieve 2019 figures.

"I'm sure that the growth next year will not grow that much and it will turn out that three years- 2020,2021 and 2022 were years of stagnation," he said.

"The national debt has exceeded $9 billion, having grown by $2.3 billion over the past two years. This means that a substantial part of the economy's expected 4% growth is to be contributed by the increased debt. There is no other explanation," said Kocharyan.

Citing official 12-month inflation data which was 9.6% in late November 2021 , the former president noted that the reliability of this indicator is also in doubt.

"I've been president for 10 years and I can't imagine what it takes to have 9.6% inflation," he said.

In this regard, Kocharyan stressed that with such inflation, the state is obliged to raise pensions and salaries, "which is not done and, as I understand, is not expected to be done."

"There is a feeling that the current government has confused double-digit GDP and inflation figures. It should have been the other way around, double-digit economic growth, not inflation," he stressed. -0-