A roundtable discussion on Armenia’s further economic policy has been held in Yerevan.

The discussions were organized by the International Monetary Fund (IMF) and the Armenian International Policy Research Group (AIPRG). The reason for the roundtable is the disagreements between the RA and IMF over official Yerevan’s economic policy. The IMF offers a more radical economic policy, which is unacceptable to the RA Government for some reasons. No information on the details of the IMF proposals is available. Guillermo Tolosa, IMF Resident Representative in Armenia, compared the Armenian economy to a car. According to him, in 2003-2008, the car was going at a high speed, but, battered by a storm, lost its way and broke down. The RA Government and the Central Bank of Armenia (CBA) promptly responded and repaired the car. Tolosa described the IMF as a rescue team. According to him, Armenia has got out of the unfavorable situation and is now moving toward economic progress. 

Tolosa compared the wheels of the car to macroeconomic stability, the engine symbolizing microeconomic policy. According to him, the engine needs replacing.

This is a rather important factor, as the IMF has never dealt with Armenia’s microeconomic policy, being content with the country’s macroeconomic indicators. This is the reason for RA Minister of Economy Nerses Yeritsyan’s sharp response. “A Soviet ‘Zhiguli’ car on an American road will break down as soon as a Mercedes on an Armenian road. It is up to us to answer the question: Does the engine have to be replaced?” According to the Minister, Armenia will enhance its competitiveness by means of reforms of the second generation. “A good car, with a powerful engine on a good road” is Minister Yeritsyan’s view of Armenoa’s economic future.