No rise in food prices should be expected after Armenia’s accession to EEU if global prices remain stable - Hrant Bagratyan
In an interview with Tert.am, Armenian National Congress (ANC) parliamentary group member Hrant Bagratyan said that Armenia’s Prime Minister Hovik Abrahamyan may put forward arguments that the Russia-West confrontation is affecting Armenia’s economy, and Armenia’s government may fail to ensure economic growth this year.
“No new rise in the world food prices should be expected. After Armenia joins the Eurasian Economic Union (EEU) the customs duties on food will be reduced. They are the duties that are normally higher in the EEU member-states than in Armenia. Moreover, other things being equal, fruits and vegetables imported from Turkey will be more competitive. Of course, of high importance is what exceptions will be made in Armenia’s case.”
As to whether the monthly wages raised from July 1, 2014, will be equivalent to the expected price rise, Mr Bagratyan said:
“It is not clear now. This January-September, nominal monthly wages were raised 7.6%, with a 2.6% price rise recorded. However, it does not mean our life improved 4.7%. The point is that the funded pensions were most probably considered as part of the aforementioned 7.6%. But I think it is a gross blunder to view it as income. A few months ago I had a talk with top officials of the National Statistical Service. If they do not present any figures without, the dynamics of nominal or real wages will not be compatible because of this funded pension ‘reform.’”
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