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INTERNATIONAL MONETARY FUND'S EXECUTIVE COUNCIL CARRIES OUT MONITORING OF ECONOMIC INDICATORS IN ARMENIA
ARKA News Agency
Nov 28 2007
Armenia
YEREVAN, November 28. /ARKA/. International Monetary Fund's executive
council has carried the fifth monitoring of economic indicators
in Armenia as part of Poverty Reduction and Growth Facility (PRGF)
Program.
The IMF representative office told ARKA News Agency that the monitoring
made it possible to provide 3.28 million SDR (about $5.2mln) under
the agreement.
As a result, the money provided under the program will total 19.68mln
SDR (about $31.4mln).
Deputy Managing Director and Acting Chair Murilo Portugal said after
executive council's meeting that Armenia keep taking advantage from
double-digit economic growth, low inflation rate, low tax-budget
deficit and favourable reserve state.
More than that - Armenia reached considerable progress in reducing
poverty, he said.
He also pointed out that intensive flow of money transfers into the
country mitigated the impact of growing volumes of imports on current
account deficit.
The IMF managing director said that mid-term prospects are positive
and there are favorable environment for investment.
He also said that reasonable tax/budget and monetary policy will
ensure macroeconomic stability and outside competition amid large
inflows from the outside and growing inflation risks.
Portugal said that Central Bank of Armenia pursues a strict
monetary/credit policy to curb inflation with maintaining a flexible
monetary regime.
He said that expenditure pressures connected with the pension reform
and possible increase in prices for imported natural gas trigger
mid-term tax/budget risks.
That's why the process of tax collection should be improved and
expenses classified by priorities, Portugal said.
The IMF representative called the growth of tax inflow ratio to
GDP transparent. He thinks this will give room for saving money for
infrastructural needs and further reduction of poverty.
He said the authorities intend to continue structural reformation and
to remove the last obstacle form the road of a large-scale economic
development.
Portugal stressed the importance of the policy focused on domestic
competition and productivity enhancement.
He thinks the program improving tax management will reduce tax evasion
cases and improve business environment.
PRGF is a preferential credit provided to low-revenue countries.
The PRGF-supported programs are based on poverty-reducing strategies
worked out under partner organizations' active participation.
In 2005, IMF upheld a three-year PRGF program worth 23 million SDR
(about $34.2mln) for Armenia.
The first tranche amounted to 3.28mln SDR (about $4.9mln).
ARKA News Agency
Nov 28 2007
Armenia
YEREVAN, November 28. /ARKA/. International Monetary Fund's executive
council has carried the fifth monitoring of economic indicators
in Armenia as part of Poverty Reduction and Growth Facility (PRGF)
Program.
The IMF representative office told ARKA News Agency that the monitoring
made it possible to provide 3.28 million SDR (about $5.2mln) under
the agreement.
As a result, the money provided under the program will total 19.68mln
SDR (about $31.4mln).
Deputy Managing Director and Acting Chair Murilo Portugal said after
executive council's meeting that Armenia keep taking advantage from
double-digit economic growth, low inflation rate, low tax-budget
deficit and favourable reserve state.
More than that - Armenia reached considerable progress in reducing
poverty, he said.
He also pointed out that intensive flow of money transfers into the
country mitigated the impact of growing volumes of imports on current
account deficit.
The IMF managing director said that mid-term prospects are positive
and there are favorable environment for investment.
He also said that reasonable tax/budget and monetary policy will
ensure macroeconomic stability and outside competition amid large
inflows from the outside and growing inflation risks.
Portugal said that Central Bank of Armenia pursues a strict
monetary/credit policy to curb inflation with maintaining a flexible
monetary regime.
He said that expenditure pressures connected with the pension reform
and possible increase in prices for imported natural gas trigger
mid-term tax/budget risks.
That's why the process of tax collection should be improved and
expenses classified by priorities, Portugal said.
The IMF representative called the growth of tax inflow ratio to
GDP transparent. He thinks this will give room for saving money for
infrastructural needs and further reduction of poverty.
He said the authorities intend to continue structural reformation and
to remove the last obstacle form the road of a large-scale economic
development.
Portugal stressed the importance of the policy focused on domestic
competition and productivity enhancement.
He thinks the program improving tax management will reduce tax evasion
cases and improve business environment.
PRGF is a preferential credit provided to low-revenue countries.
The PRGF-supported programs are based on poverty-reducing strategies
worked out under partner organizations' active participation.
In 2005, IMF upheld a three-year PRGF program worth 23 million SDR
(about $34.2mln) for Armenia.
The first tranche amounted to 3.28mln SDR (about $4.9mln).