Armenia's GDP to Grow 13.5% in 2006

It's no surprise to anyone in Armenia that it is experiencing rapid growth. As long as the administration facilitates that growth, we seem to be on a rather good path, at least economically. By the way, GDP is Gross Domestic Product, which indicates the total annual value of all goods and service produced.

GDP growth will amount to no less than 13.5 percent in Armenia in 2006, ARKA News Agency quoted the republic's Economy Minister Karen Tchshmarityan as saying. In January-November, Armenia's GDP rose 13.2 percent, he said. The minister attributed this advance to an increase in the country's industrial production.

Investment in Armenia's real economy, excluding state-backed credit, will exceed $400m in 2006, which is a 20-25 percent increase on the year before. Investment went chiefly to such sectors as transport, telecommunications, and the mining and metallurgy industries, Tchshmarityan stressed.

During the latest 3 years there were 25000 subjects of small and medium enterprises were established in the republic, more than 11000 of which in 2006. As a result, there appeared 16 000 new jobs during the current year.

For comparison, the GDP of the United States grew 3.2% in 2005. That means Armenia's economy is still nascent and not yet mature.

Source: RBC and Banks.am