Chairman of Local Manufacturers Union, Chairman of the Committee for Financial, Economic and Budgetary Issues of the Public Council, Vazgen Safaryan said that Armenia should approach the vision of industrial country’s establishment.
“The situation in Armenia’s industrial field causes concerns,” Safaryan told a press conference on August 26.
He said that in 1988 Armenia’s industry totaled 66.7% of the GDP, while now this index reduced to 27%. According to Safaryan, the government’s policy should focus on export. “We should produce ready products, but not raw materials. Meanwhile, our import exceeds export by 4.5 times,” he noted.
Commenting on reasons, Safaryan said that it is easier to import, thus, the government should create greater privileges for producers. Moreover, Safaryan believes that a range of imported products can be produced in Armenia – sugar, sunflower oil, flour, the self-sufficiency of which makes 30% in Armenia today, while it could reach 50%.
According to Safaryan, the policy of free market economy pursued by the Armenian government does not allow it to completely regulate the economy, as a result of which the country's industry is not developed today.
However, the government should follow the country’s foreign trade turnover and currency policy. “It is necessary to switch over to a fixed exchange rate, which may total around AMD 450-500/ USD 1, to facilitate export,” concluded Vazgen Safaryan.
