PREMIER: RATIO OF ARMENIA’S FOREIGN DEBT TO GDP 40%

ARKA
Sep 8, 2011

YEREVAN, September 8. /ARKA/. Ratio of Armenia’s foreign debt to GDP
is 40%, Armenian Prime Minister Tigran Sargsyan said Thursday before
beginning a regular session of the Cabinet.

He said that the foreign debt is completely consists of long-term
and preferential loans received from international organizations.

Commenting on Fitch Rating Agency’s decision to leave Armenia’s
rating unchanged, the premier said that Armenia is among countries
with BB rating and its debt burden is within controllable range –
below medium among other countries.

“It means the problem shouldn’t be exaggerated,” he said.

Sargsyan found Fitch analysis quite objective – Armenia’s advantages
and problems have been taken into account here.

Fitch left Armenia’s issuer long-term default rating unchanged, at BB-
with forecast Stable.

Charles Seville, head of Fitch’s sovereign ratings division, said
that the confirmation of Armenia’s rating shows that the country’s
authorities are narrowing budgetary and foreign misbalances in
accordance with the IMF-supported economic policy program.

Armenia’s total debt amounted to AMD 1455.4 billion by June 30.

According to preliminary statistical data, domestic debt amounted
to AMD 185.6 billion and foreign debt AMD 1269.8 billion or $3442.6
million.

Total state debt in drams has grown 5.5% or by AMD 76.2 billion since
Dec 31, 2010. ($1 = AMD 370.73).

From: Emil Lazarian | Ararat NewsPress