Forbes magazine has come out with its “World’s 10 Worst Economies List” for 2011. Armenia ranks as the second worst economy, a notch above the island nation of Madagascar.

With a 15% contraction in GDP in 2009 and mediocre growth forecast for the next few years, this landlocked former Soviet republic is struggling to keep up with the rest of the world. Per-capita GDP of $3,000 is less than a third of neighboring Turkey, and with inflation running at 7%, Armenia’s citizens are getting poorer. GDP per capita: $2,959 Inflation: 7%

Forbes ranked 177 countries according to three-year average statistics for gross domestic product growth and inflation (including the IMF’s 2012 estimates), plus GDP per capita and the current account balance, a measure of whether the country is importing more than it exports.