The systemic economic crisis in Armenia is due to the policy that Armenia has led for quite a long time. This is what leading researcher of the Institute of Economics at the Russian Academy of Sciences, PhD in Economics Aza Mihranyan said during today’s Yerevan-Moscow teleconference.

According to her, there is a problem with the formation of an effective system within the state apparatus and for personnel management which is a serious hindrance to economic development. Mihranyan also mentioned the importance of changing the fundamental criteria for and approaches to the formation of the personnel of the public administration system in the economic bloc.

“If we’re talking about the overall economic situation, I would place the impact of the restrictions regarding the coronavirus in first place and the impact of the war in second place. After the end of the military operations, the creation of a legal ground for the regulation of economic ties between the territory under the control of Azerbaijan and the territory in the zone of influence of the peacekeeping forces of Russia is extremely current. The loss of territories will have a serious impact on the state of the market of food products in Armenia. In these conditions, the strategy on economic development of Armenia and the selection of a model play a very important role,” Mihranyan added.

The analyst stressed the need for the creation of an economic model that will be hinged on the use of the economic potential from the perspective of solving social issues, not generating income. “This is current for Armenia. As far as the unblocking of transport links is concerned, this is complex and will directly depend on the opportunities for export. During the years of blockade, there was a rather clear structure for export from Armenia. Today, the current capacities for cargo transportation are fully sufficient,” Mihranyan concluded.