by Elita Babayan
The goal to develop the capital market in Armenia dictates the need to diversify the economy and the financial tools and to stabilize the economic growth, Teresa Daban-Sanchez, IMF's Resident Representative in Armenia, said at the Feb 7 conference in Tsaghkadzor, Armenia. The conference was dedicated to issues related to the Armenian capital market development.
In the light of the global economic trends, Teresa Daban-Sanchez pointed at the general recovery of the world economy (after the financial and economic crisis) and stressed that in Japan the economic growth remains low, the EU has a middle economic growth and the economic growth in the US has a positive dynamics. According to the IMF, the growth of the global economy will be 3.7% in 2014.
She also pointed put the vulnerability of the countries with developing economies (including Armenia). Nevertheless, the IMF expects Armenia's GDP to grow by 4-5% in 2014.
At the same time, the IMF warns Armenia against a possible second crisis wave, which may be even stronger.
As regards the entry of the EBRD and the IFC into the Armenian capital market (placement of Armenian Dram ("AMD") denominated bonds), she stressed that Armenia is diversifying its financial tools.