IMF and Armenian Government estimates of GDP growth are different

ArmInfo. IMF and Government  forecasts  in respect to 2017 GDP growth of the country are  different. Vardan Aramyan, the Finance Minister, shared with  journalists the ambitious plans of the Government, forecasting higher  growth of GDP than that set forth in the country's budget. Meanwhile,   yesterday the IMF mission fund voiced his version of Armenian GDP  growth which is up to 2,9%. 

According to Vardan Aramyan, the country's Government has multiply  stated  own plans to reach the growth exceeding 3,2%. Hem mentioned  that despite March results are not summarized yet, it is possible to  fix the 6,2% growth of economic activity. At the same time the  Minister recognized the basic effect factor, due to which the growth  indicator might be  corrected with a gradient top decrease, like it  was in 2016, when the economic activity in January formed 4,2%, with  stage by stage growth up to 5,7% in May, after which an unessential  dropdown was fixed. "However, I am sure we will reach the planned  indicator of 3,2%," Armenian Minister of Finance stated. 

Meanwhile, delivering a speech to journalists in Yerevan, Hossein  Samiei, the head of IMF  Mission to Armenia, mentioning all the  positive messages  of Armenian economy and expressing a hope for  soonest structural reforms, voiced the new forecast of the Bank -  2,9% instead of previous 2,7. At that,  in annual view trhe mission  head did not rule out the occurrence of  risks. He reminded that yet  in  early 2016 there were positive expectations regarding the  economic growth  in Armenia. But, based on results of last two  quarters of 2016, negative tendencies had shaped, and, as the result,  the growth was fixed almost at zero. 

To note, according to the State Budget of RA,  Armenia's GDP growth  will  reach 3.4% in 2017, against the predicted 3.2% for 2016  (previously  forecasted 2,25-2,5%). According to the state budget of  Armenia, economic growth in 2017 is planned at 3.2% of nominal GDP  growth -  within 5%, while the index-deflator by 1.7% (vs. 2.4% in  2016), the  deficit of 150.1 billion AMD. The profitable part of the  state budget  of Armenia in 2017 will increase to $ 1 trillion.   210billion AMD,  expenses will decline to 1trillion 360 billion AMD,  the ratio of  revenues/GDP is 22.4% (compared to revenues/GDP 21.8%  in 2016).