Expert questions government’s investment pledge
08.11.2017,
16:31
Gagik Makaryan, the chairman of the Union of Armenian Employers, questioned today the government’s pledge to attract as much as $850 million of investments this year, saying at best it can bring only 70% of the promised money– that is $600 million.
YEREVAN, November 8. /ARKA/. Gagik Makaryan, the chairman of the Union of Armenian Employers, questioned today the government’s pledge to attract as much as $850 million of investments this year, saying at best it can bring only 70% of the promised money– that is $600 million.
Speaking at a news conference he blamed the failure on slowing down business processes. As an example, he noted the construction of a large solar plant in Armenia. It was decided to hold an international tender, which has delayed the process of real investment. Therefore, in fact, it will be implemented in 2018.
He said the bulk of promised investments will be channeled into the energy sector, as well as into the mining sector, triggered by the development of the Amulsar gold deposit. Some investments will also be directed to the transport infrastructure.
"We need to motivate investments in the textile and clothing industry, the food industry, processing of local agro products, as well as to stimulate local enterprises and implement a targeted policy to support domestic producers, which will also lead to increased investment," Makaryan said.
According to the National Statistical Service, foreign investments in the Armenian economy surged by 36.6% in the first half of 2017 as opposed to the same time span of 2016 to over $1 billion. Foreign direct investments (FDI) during the reporting period increased by 26.3% year-on-year to about $328 million.
The bulk of foreign investments came form Russia - $374.3 million, including $200.2 million of direct investments. It was followed by Germany - $169.8 million and $15.7 million respectively, Cyprus - $153.6 million and $11.2 million respectively. Investments came also from Great Britain, Canada, Luxembourg, Lebanon, France, Hungary and some other countries. --0--
Speaking at a news conference he blamed the failure on slowing down business processes. As an example, he noted the construction of a large solar plant in Armenia. It was decided to hold an international tender, which has delayed the process of real investment. Therefore, in fact, it will be implemented in 2018.
He said the bulk of promised investments will be channeled into the energy sector, as well as into the mining sector, triggered by the development of the Amulsar gold deposit. Some investments will also be directed to the transport infrastructure.
"We need to motivate investments in the textile and clothing industry, the food industry, processing of local agro products, as well as to stimulate local enterprises and implement a targeted policy to support domestic producers, which will also lead to increased investment," Makaryan said.
According to the National Statistical Service, foreign investments in the Armenian economy surged by 36.6% in the first half of 2017 as opposed to the same time span of 2016 to over $1 billion. Foreign direct investments (FDI) during the reporting period increased by 26.3% year-on-year to about $328 million.
The bulk of foreign investments came form Russia - $374.3 million, including $200.2 million of direct investments. It was followed by Germany - $169.8 million and $15.7 million respectively, Cyprus - $153.6 million and $11.2 million respectively. Investments came also from Great Britain, Canada, Luxembourg, Lebanon, France, Hungary and some other countries. --0--
