Armenian economist: Living standards of Armenians to worsen in 2018

Baku. 24 November. REPORT.AZ/ Inflation in Armenia projected at 4% next year. 

Report informs referring to the Armenian media, the Armenian economist Vilen Khachatryan told reporters, adding that this is quite standard inflation in terms of forming the state budget.

"But there must be a certain budget policy. That is, for example, if there is inflation, then there should be an increase in pensions, salaries, as well as social payments for low-income segments of the population, which is not in Armenia," he explained. 

As Khachatryan stressed, the absence of indexation of salaries, pensions and allowances will lead in 2018 to deterioration of living conditions of citizens.

Simultaneously, the expert pointed out that an increase in the level of poverty leads to a decline in purchasing power, which, in turn, leads to a reverse process, that's to say, a deflation.