Economist: Targeted, state stimulation of the SME sphere is a pledge to reduce unemployment and poverty in Armenia

ArmInfo. Armenia's first place  in terms of unemployment and poverty among neighboring countries,  poverty level of 29.4% is a mirror image of a high level of social  polarization and uneven distribution of incomes of citizens of our  country. Gagik Makaryan, Chairman of the Republican Union of  Employers of Armenia, expressed such opinion to ArmInfo.

"70% of the property in Armenia has 10% of the population, while 40%  of citizens account for only 2% of its total volume." Another reason  is the rate of inflation, which is outstripping the growth of the  economy, and so far the government's measures towards resolving  social problems the population of the country is not felt, and the  level of poverty practically does not change, and this is when 1.9%  of the population is generally below the poverty line, "he said.

18% unemployment rate Makaryan considers additional support for the  growth of the number of poor in Armenia. However, according to  preliminary estimations of the RSA, by the end of 2017 there will be  a reduction in the unemployment rate to 17, and possibly even 16%.  However, according to his estimates, it is not necessary to forecast  a significant improvement in the poverty level in 29.4% this year. In  this light, the economist also notes the absence in 2017 of  significant progress in the well-being of Armenian society.   According to Makaryan, it is not necessary to invent a bicycle in  order to get Armenia out of this situation.  The experience of  previous years demonstrates the real possibility of reducing  unemployment primarily through double-digit economic growth. In this  light, the rapid development in Armenia of the spheres of tourism,  agriculture, assembly enterprises on the basis of imported components  seems to the economist to be a non-alternative necessity.  It is  important to contribute to the reduction in the level of unemployment  and, accordingly, poverty, according to his forecasts, the complex  development of small and medium-sized businesses. And the growth in  the number of SMEs in 2007-2009. on 50 thousand from 82 to 132  thousand, in his opinion - The best example of this. Another example  is the sharp decline in the number of SMEs by 2010 to just over  59,000 as a result of the government's inadequate response to the  global financial and economic crisis that began at the end of 2008.  All this was accompanied by an increase in the level of unemployment,  poverty, labor migration.  "However, even today, according to 2017,  70% of the 330,000 employed in the private sector work in the SME  sector, and the need for a focused, coordinated government policy to  stimulate the development of SMEs is seen," the head of the RSAA  summarized.  "However, even today, according to 2017, 70% of the  330,000 employed in the private sector work in the SME sector, and  the need for a focused, coordinated government policy to stimulate  the development of SMEs," the head of the RSAA.