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Policy

Only Nations with strong and healthy Middle Class are in a position to fight poverty and provide prosperity for their citizens and have democratic civil society.

In all countries Middle Class has been the main fundamental bearer of successes of developments in overcoming extreme poverty, achieving food security, increasing the effectiveness of market economies and the efficiency of the government, fostering regional and international co-operation, enhancing the participation of all people and reducing the dependency of the poorest people and increasing country’s capacity for self reliance.

The need of emergence of the Middle Class in transition economies can be considered as the bedrock of the democracy and human right’s protection.

Armenia is on its way of transition from centralized-planed economy to market relations and currently undertaking fundamental reforms in all directions of the economy. Large number of population is currently suffering from temporary difficulties of reforms and as a result many qualified people became unemployed.

The problem is most painful with physically disabled and those who have been under the custody of state during the older system. As a result of current reforms in the health, education, science and infrastructure, which were paid for by the state during decades, very qualified people appear to loose their jobs, or as a result of government budget constraints their salary can not even pay for a basis consumer package, while these people used to benefit from the highest living standards earlier.

The reason is only temporary financial difficulties of the state and this group of experts will be quite competitive during the perfect market. This is a group of population that is currently in need of special support.

The Experience has demonstrated that success takes time and sustained efforts of government and civil society. Meanwhile, the research has found that structural reforms are successful provided that the civil society is democratic.

While today’s reforms will pay in future, in order to ensure development in Armenia there is a real need to shape strong Middle Class in Armenia and support the today!  It may comprise more than 50% of total population. Our target is to support about 2 mln. Armenians!
 

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