World Bank predicts no growth of Armenian economy in 2009

World Bank Yerevan office chief Aristomene Varudakis stated on February 25 that in 2009 Armenian GDP growth will be zero at best. This prognosis was supported by current economic tendencies and the worsening Russian economy, Russia being the most important trading partner of Armenia.

This prognosis is radically different from Armenian official opinion. The country’s 2009 state budget predicts GDP growth of more than 9% this year. However Armenian Minister of Economy Nerses Eritsian now agrees with the World Bank prognosis and acknowledges that GDP growth in 2009 will be less than had been planned. He says that the Government prognosis assumed an enhancement of the economy but it is now clear it shows negative tendencies.