Economic growth in Armenia in 2010 will be about 2,4%: primier

Armenian economy expanded last year 2.4%, prime minister Tigran Sarkisian said Saturday at a meeting of the Board of Trustees of the National Competitiveness Fund of Armenia.

"When approving the 2010 budget we projected a 1.2% economic growth, but the actual figure has exceeded our projection. In structural terms our economy has also seen changes," Sarkisian said, explaining that apart from agriculture, other economy sectors registered growth.

Speaking on economic development trends, prime minister Tigran Sarkisian said that given the post-crisis situation the country's economy is changing, in particular, the share of construction in GDP has reduced to 15% from 25%, as the share of industry is growing and the share of services, if compared with 2005, rose from 30% to 40%.

Stressing the importance of improving export volumes at a faster pace, Tigran Sarkisian said exports grew last year 40% and imports by 15%.

"From the perspective of this trend the trade balance has improved, and there are also positive trends regarding the balance of payments," he said.

Speaking of infrastructure development projects implemented last year, the head of the Armenian government noted that all measures planned for 2010 were continued under the logic of the government’s anti-crisis program with large-scale investments made in infrastructure and road construction; for example 400 km of roads were built.

He said also 12 newly established companies were granted tax incentives in the form of extension of VAT payments. The prime minister expressed hope that the diversification of the Armenian economy will continue in 2011. According to the National Statistical Service, Armenia's GDP in January-November increased by 2.6% compared with January-November 2009. -0-