6.1% ECONOMIC DECLINE RECORDED IN ARMENIA IN JANUARY-MARCH 2009

ARKA
Apr 30, 2009

YEREVAN, April 30. /ARKA/. A 6.1% reduction was recorded in the
Armenian economy in January-March 2009 as compared with the same
period of last year.

The Gross Domestic Product (GDP) totaled 465,508.4mln Drams in current
prices in the reporting period with GDP index-deflator at 101.9%
in January-March this year against January-March 2008.

According to the statistics, 4.2% compression of gross added value in
the reporting period (as compared with 5.4% growth in January-March
2008) deterred the GDP growth by 3.5pct.

In the reporting period 15.8% reduction in tax proceeds without
subsidies (against 32.7% increase in January-March 2008) deterred GDP
growth by 2.6pct (against 4.6pct of increase in January-March 2008).

In the period, 20.5% decline in construction deterred the GDP by 1.9pct
(against 1.7pct of GDP growth in January-March 2008). 9.7% decline in
industry (including energy sector) has had minus 2.2pct negative effect
on economic growth (against 0.1pct growth in January-March 2008).

5% reduction in agriculture, forestry, hunting and fishing had minus
0.4pct effect on GDP over the period under review against 0pct effect
in January-March 2008.

1.1% compression recorded in the financial sector and real estate
transactions deterred the GDP by 0.1pct (against 2.4pct positive
effect in January-March 2008).

The share of added value was 85.2% in the GDP structure in
January-March this year against 83.3% in January-March 2008. The
share of industrial production (including energy) was 17.7% against
21.6% in January- March last year. The share of agriculture was 7.9%,
that of construction - 9.8%.

Trade, cars, transport and communication provided 25.7%, the services
sector on the whole - 53.5%.

Taxes, the subsidies exclusive, constituted 14.8% of the GDP.

GDP per capita was 143,729Drams or $441 (339 Euros) for January-March
2009.

9.2% economic growth was recorded in Armenia in January-March 2008.

Under the state budget, 9.2% growth of GDP was expected in Armenia
in 2009. ($1=372.22Drams).

From: Emil Lazarian | Ararat NewsPress