Armenia’s prime minister announces special measures to recover economy

Being short of resources, Armenia needs effective development models, Armenian Prime Minister Hovik Abrahamyan said on May 12.

The Armenian government is going to organize discussions with MPs and public figures with a view to develop new mechanisms for recovering economy and improving health care and education.

“The four-day war has forced us to reconsider our work. Are we developing today, are we fighting corruption, do we have an efficient army? Yes, we are, yes we do. But this is not enough for countering new challenges,” Abrahamyan said.

Whoever is unable to attend the discussions will be able to e-mail his or her proposals to the government.

Abrahamyan said that the government has already detected a number of shortcomings and has developed mechanisms for their removal. “Even though we have already approved this year’s budget, we are starting to save. We need to cut the expenses having no effect on our decisions, particularly, the expenses concerning business trips, service cars, office repairs,” said Abrahamyan, even officially one of the richest men in Armenia.

He said that the government staff has to be reduced. “This may cause social unrest but the situation in Nagorno-Karabakh is urging us to take such special measures,” Abrahamyan said.

He added that all these measures will not be effective without stable economic growth. “Over the last two years we have been criticized for not fighting monopolies. I admit that we were not consistent enough. Now it is time for us to correct our mistakes,” Abrahamyan said.

The prime minister has instructed the Economy Minister and the Chairman of the Commission for Protection of Economic Competition to analyze the existing monopolies and to suggest effective measures against them.