ArmInfo.Amid the impact of COVID-19 and lower consumption, economic growth in Armenia will slow down to 2.2% in 2020, analysts at the Asian Development Bank (ADB) say.
However, already in 2021, the country's GDP growth will begin to recover and accelerate to 4.5%, as the reforms launched in 2019 and 2020 will strengthen and modernize infrastructure, improve human capital, finance and public administration. This forecast was published on April 3 in the ADB report "Asian Development Outlook 2020".
According to the expectations of ADB, in 2020 inflation and current account deficit will increase slightly in Armenia, and then slow down in 2021. ADB notes that increasing public investment is very important to ensure inclusive and stable growth of the Armenian economy.
It should be noted that according to the forecast of the Central Bank of Armenia, the impact of coronavirus on the economy will slow down the growth of Armenia's GDP in 2020 to a stagnant 0.7% (from the actual 7.6% growth in 2019), but growth is expected to recover in 2021 to 7, 2%. The Central Bank also expects that by the end of 2020 inflation will be 1.9% and will head to the target threshold in the medium term, against actual inflation of 0.7% for January-December 2019 and annual inflation of 1.4% (January- December 2019 to January-December 2018).
