Republic of Armenia

Since its independence, Armenia has made significant strides in enhancing macroeconomic stability. Growth has been satisfactory with inflation under control and the fiscal situation broadly well managed. Lately, adverse external developments have led to significant falls in remittances and the price of copper, Armenia’s main export. Following subdued growth in 2016, the economy is expected to gradually recover in 2017, but the outlook is clouded by downside risks and tough challenges remain: growth continues to be volatile and narrowly based, trade opportunities remain limited, and public debt has increased sharply. Following important reforms in the energy sector and the tax code, the government is determined to tackle corruption, improve competition, and promote sustainable growth.