Today.Az » Analytics » Non-stop price hike destroying life in Armenia
16 October 2014 [10:51] - Today.Az


By Mushvig Mehdiyev

The price of food products has risen by an average of 0.9 percent in Armenia.

The consumer prices in the ex-Soviet state had averagely grown by 72.6 percent in 2003 - 2013. Is the figure tragic or normal for Armenia? That index is usually normal for the poorest countries which are taken hostage by a galloping inflation. However, the Armenian people and authorities see their country among the developing European states. Now the inflation rate in the Eurozone was 20.2 percent or 3.6 times less than that of in Armenia.

The local and foreign analysts underline the current economic crisis as the source of multiple problems in the former Soviet country. First of all, the slump deepens the social disorder to increase the number of unemployed and emigrants. Armenian workforce in Russia is skyrocketing year by year. Russia's statistics service just revealed that almost 90 percent of Armenian migrants arrive in Russia to find a job. A sharp contrast between the high living costs and low salaries in Armenia pushes the residents to look for a better life and job abroad.

The Armenian National Statistics Service reported that the consumer price index was 101.5 percent in the country in September. The figure is seen as a herald of worsening social life which could lead the people to defy the authorities' rule.

Armenia tries to boost its participation in foreign markets, particularly in Russian marketplaces. As a result, it paves the way to create a shortage of certain products in domestic markets. Lack of products usually ends in the rise of prices which is currently observed in Armenia. The country is reportedly going to face a considerable rise of agricultural products' price.

Prices of the essential foods including bread, meat, cheese, butter and etc. are continuously rising in Armenia. Latest statistical data unveiled that the bread price increased about 1.6 times, while it was over 1.6 times for beef, 2.1 times for pork, and 1.9 times for mutton. The price of dairy products hit the record high with 1.7 times for cheese and 2.8 times for butter.

Total and sharp price hike in Armenia is like a wrecking ball destroying the life of people. It is a real disaster for the small and poor post-Soviet country while taking into account its 30 percent malnourished, 33 percent poor and 19 percent unemployed people.

A famous saying reads as "no money, no honey." It is now completely felt in Armenia. The authorities hugely supports the oligarchic economy turning a blind eye to ordinary people's problems. Thus, the price hike shows once again that the government remains passive towards the problem of ordinary people.

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