The outflow of population negatively affects the number of private money transfers as well as foreign investment into the country. The Armenian newspaper Zhamanak reports that the volume of net cash flows in January-September 2017 was by $1.8 million less than those that Armenia received in the same period last year.
Armenian economists, in turn, note that the change of heads of several government agencies in Armenia led to an outflow of capital, since some dismissed persons have powerful financial and other kind of resources.
It should be noted that since taking office last year, Armenian Prime Minister Karen Karapetyan promised the development of the Armenian economy due to a number of factors. In particular, he promised to bring investment in the country, but today it is not even felt when we take a look at the current state of the Armenian economy.
Currently, the investment indicator in Armenia is negative, that is, Armenians withdraw investments more than attract them. Obviously, few people dare to invest in the impoverished and corrupt country. Even the richest foreigners from affluent countries hesitate to invest their money in Armenia, known for extreme corruption and many other drawbacks. The Armenian businessmen themselves do not invest money in the country’s business spheres because they are afraid of losing the funds. They understand unreasonableness of investing in the Armenian economy which is heading towards a default.
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