In an interview with BMG, Armenian Finance Minister Vahe Hovhannisyan highlighted the robust growth of Armenia's economy in recent years, surpassing its potential. Minister Hovhannisyan noted that while the economy has grown faster than anticipated, the nation's potential has concurrently expanded.
Addressing the first quarter of 2024, Minister Hovhannisyan revealed that while GDP growth stood at around 9%, after meticulous examination by the statistical committee, the estimated real growth rate hovers around 7.5%. He emphasized the importance of accounting for various economic factors, including the burgeoning jewelry sector, to gain a comprehensive understanding of Armenia's economic landscape.
The interview shed light on the manufacturing industry's significant contribution to economic activity, particularly its impressive growth of 31.1% in January-April 2024. Minister Hovhannisyan attributed this growth to the expansion of production and export of gold jewelry.
Despite concerns raised by economists regarding the emergence of signs of the "Dutch disease" in Armenia's economy, Minister Hovhannisyan remains optimistic.
He acknowledged the susceptibility of Armenia's small economy to external factors but underscored ongoing efforts to diversify the economy. Minister Hovhannisyan stressed the necessity of enhancing productivity and competitiveness within the private sector to ensure long-term stable growth and mitigate potential turbulence resulting from external changes.
