Armenia`s minister of economy on rise in labor productivity in 2024 

ArmInfo. The activities of the Ministry of Economy of Armenia in 2024 were aimed at developing the  main sectors of the RA economy and their productive management. As a result of these programs, we can record that the economy of the republic has achieved almost 6% real growth (5.9%, with 7% budgeted for by the state budget - ed.).

This was stated by the head of the department Gevorg Papoyan on June 16 at a meeting of the standing  committee on economic issues, presenting a report on the execution of  the state budget for the past year.

Without going into details, Papoyan noted that in the reporting year,  the volumes of investment, foreign trade, including exports,  increased significantly, and the tools for implementing economic  policy were improved. Mechanisms for the development of the capital  market, which are popular all over the world, were introduced, but  even the legislative field was not ready for them in Armenia, the  minister added.

"All this, of course, contributed to the growth of economic activity  and increased competitiveness," Papoyan said.

The work of the Ministry of Economy, the Minister explained, was  carried out in several directions. Thus, the efforts aimed at  developing the local industry, according to Papoyan, have already  borne fruit - the day before, the company , engaged  in the production of metal ingots, released its first product (the  Karakert Stone Smelter, better known as the Glass Factory, which had  not operated for about 35 years, was bought by Iranian businessmen,  and, as noted, the plant will use the scrap metal available in  Armenia, which was once exported from the country without added value  - ed.). Before that, the Yeraskh Copper Smelter was launched, and  recently - an enterprise for the production of batteries.

, - Papoyan said, pointing out that this was  achieved due to the fact that in order to develop the production of  goods with higher added value and domestic consumption of raw  materials, the Government of the Republic of Armenia banned the  export of ferrous and non-ferrous scrap metal and waste containing  them by a number of decrees. As a result of this policy, three  factories have already been opened in the republic, and the fourth  will open in October, which indicates that the Republic of Armenia is  self-sufficient in this area, he noted.

, the  minister said authoritatively.

Speaking about the achievements of the department he heads, Gevorg  Papoyan said that in 2024, labor productivity in the republic grew as  much as in 2012-2017 - around $1. The portfolio of the economic  modernization program aimed at stimulating production reached  $1.3-1.4 billion, he emphasized.

The economic modernization program was launched in early 2022. The  first component of the program involves reimbursement of financial  costs to companies, leasing, subsidizing interest on loans for the  modernization of fixed assets, including production lines. Within the  framework of the program, the state subsidizes 7% in drams, 6% in  foreign currency in the case of a loan agreement, in the case of  leasing agreements the subsidy in drams is 10%, in foreign currency -  8%. The program can be used by business entities in the following  sectors: agro-industrial complex, mining industry, construction,  telecommunications, professional, scientific and scientific-technical  activities, healthcare, etc.