Armenia’s certain segments need subsidizing

The Armenian economy relies very heavily on the natural gas supplied by Russia. A recent price increase for Russian gas will negatively influence the economic situation in Armenia and it goes without saying that the Armenian economy will need to be subsidized. The head of Industrialists Union, Vazgen Safaryan, recently stated that three branches of industry will be bear the brunt of the price increase– production of cement, metallurgy, and glass production. The price increase of gas will increase the cost of electricity, which will eventually increase the price of production. Thus, the Armenian Government will have to subsidize the production of these materials.