Index of poverty dropped to 71.5%
Armenia has no reserves. We face inflation and deficit as soon as foreign countries stop exporting products to Armenia, management expert Harutyun Mesrobyan told a press conference on February 25.
To rationalize prices the government should apply appropriate methods of state regulation, "break the monopolies and store stocks for 12 months."
Regarding the government's claims that the economic crisis is already surmounted, the expert said that the world countries are still experiencing the crisis impact, and as a most flagrant example, referred to the increase in gold prices.
"The Central Bank must not only regulate prices but must also manage the entire financial system," said Mesrobyan.
Aharon Adibekyan, head of the Sociometer Sociological Cente, says that the widespread poverty is the result of mismanagement.
There are many wealthy countries that cannot combat poverty because of their poor management.
According to statistics from the UN, the index of poverty has dropped in Armenia, reaching 71.5%.
"As a nation, we are psychologically strong and are used to deprivation, so maintaining the inflation will fuel tension in Armenia," Adibekyan said.
