Economic growth expected to slow down in Armenia in 2007 - CBA
(ARKA) - The economic growth is expected to slow down in Armenia in 2007 compared to the previous period.
According to the Minutes of the Board meetings of the Central Bank of Armenia (CBA) on the 2007 monetary and credit policy directions, the capital construction growth rates are expected to decrease with the agriculture and service sphere growth rates remaining the same, reports Trend.
Certain rise is expected in the production growth rates, along with lower growth rates for domestic demand and higher export increase rates.
The expected increase of exports in 2007 will be provided by restoring the industry sectors and solving the structural problems in the diamond cutting sphere.
The real import growth rates will remain the same, although growth of import dollar prices and demands are slowing down, CBA Board members said.
Armenia's real sector increased the inflation index in the 4th quarter 2006. The sectoral economic developments resulted in 13.9% economic growth in the 4th quarter 2006.
The real growth in agriculture was below the forecasted rates, whereas essential excess over the forecasts was recorded in other economic spheres. In the period, the 30% construction growth resulted in 7.6pct economic growth. In the production and services spheres the rates were 30%/0.7pct and 130%/4.7 pct respectively.
The 2007 state budget envisages AMD 2 trn 322 bln worth nominal GDP, with the real GDP growth planned at 9% and the inflation at 4%.