Armenia’s Economic Activity Grows 10.9% in January-February 2023, Foreign Trade Up 77.7%

YEREVAN — Armenia’s economic activity recorded 10.9% growth in the first two months of 2023 compared to the same time span of 2022, the National Statistical Committee (NSC) reported.

It said the economic activity in February was up 6.5% as opposed to the previous month, while compared to February 2022 it was up 11.3%.

According to the NSC’s figures, all sectors of the economy saw growth in January and February this year, except for electric power industry. No data was available on the agriculture.

The industrial output in the first two months of this year grew by 1% from January-February 2022 to about 363 billion drams. In February, the output grew by 0.7% compared to February of 2022.

The construction sector increased by 13.2% to  37.6 billion drams. Domestic trade turnover reached 622.5 billion drams, which is 18% higher than in the same period in 2022. In February, the domestic trade turnover was up 18.2% year-on-year.

The services sector (without trade) in the first two months of 2023 grew to 427.6 billion drams, 23.5% more than in January-February 2022. In February 2023, it was up 21.2% from February last year.

Armenia’s foreign trade in January-February 2023 amounted to over $2.5 billion, a 77.7% surge over January-February 2022, foreign trade in February 2023 was up 14.6% compared to January of the same year, and up 79.5% compared to February last year. In Armenian drams, the foreign trade in January-February 2023 amounted to 998.7bln.

Armenian exports soared by 96.4% year-on-year to $994.4mln. In February 2023, a 2.1-fold increase was registered compared to February last year. In dram equivalent, exports in January-February 2023 amounted to 392.6 billion drams.

Armenian imports during the reporting period amounted to over $1.5 billion, recording an increase of 67.4% compared to January-February 2022. Imports rose 62.3% year-over-year in February. In dram equivalent, imports in January-February amounted to 606.1 billion drams.

Armenian government’s growth projection for 2023 is 7%. The inflation is projected to range 4% (±1.5%).

In March 2023, the Central Bank of Armenia said its growth forecast was 5.8%. Fitch predicted 6.1% growth for 2023, the World Bank and EBRD’s estimates are 4.1%. The Eurasian Development Bank  expects Armenia’s economy to grow by 4.2% this year.