Tag: economy

Expectations and optimism are often the primary drivers of investment activity. It’s easy to be negative in the current times that Armenia is living, however, hope and optimism are key to inspiring drive, effort and motivation, especially when Armenia needs it most.

Landlocked Armenia, surrounded on two sides by unrelenting foes, has limited access to the outside world. Railways could potentially help alleviate this isolation by providing reliable outside connections for trade and passenger traffic.

Armenia’s statistics agency recently released its annual report on a number of socio-economic metrics covering sectors from trade to tourism to employment and inflation. Hovhannes Nazaretyan presents some of the more interesting findings reflecting the state of the country.

Will the introduction of competition in the retail electricity market benefit consumers or will deregulation lead to market manipulation, price increases and potentially harmful conditions, especially for residential customers? Economist Ara Khanjian explains.

The lack of information and awareness about the benefits of savings and investments, both personally and collectively, and the inadequate provision of policy incentives have not spurred savings. Improving personal financial security, freedom and wellness can positively impact Armenia’s future economic outcomes.

Banks make up the largest portion of Armenia's domestic financial system, accounting for approximately 79% of its total assets. While the banking system is well-regulated and devoid of bankruptcies for more than two decades, Armenia needs to diversify its financial system to ensure growth and prosperity.

Defying expectations, Armenia has been enjoying some very strong economic growth. However, local consumption-savings habits and other factors continue to hinder local production and competitiveness. Samson Avetian explains what needs to change.

Despite efforts to strengthen intellectual property laws in Armenia, the country still faces challenges in effectively protecting and enforcing these rights.

Iran will never accept any Azerbaijani military or political control of southern Armenia. While Tehran is pursuing a policy of strategic patience vis-à-vis Azerbaijan, it does have red lines that, if crossed, would likely produce a swift reaction.

Despite uncertainty stemming from security concerns, Armenia’s real estate market continues to experience growth with record-breaking transactions, and excessive prices, especially in the rental market.

Armenia's alcoholic beverage industry is a prominent sector in the country’s economy. Production and trade data for brandy, wine and beer showcase a dynamic pattern of growth. Hovhannes Nazaretyan explains.

In this episode, Gevorg Poghosyan, the CEO of Impact Hub Yerevan, discusses VIA Fund, an impact investment fund managed by Impact Hub Yerevan. Gevorg breaks down what impact investing is and how social enterprises differ from traditional businesses, highlighting their potential for scaling and creating positive change. We also delve into Impact Hub's plans to expand their spaces across Armenia.

Artsakh’s entire economy is heavily dependent on Armenia, and the blockade of the Lachin Corridor has made it more vulnerable, giving Azerbaijan the ability to weaponize Artsakh’s energy supply and control over its critical infrastructure.

Leonid Kirakosyan, a partner at McKinsey & Company, joins us to discuss the importance of digital transformation and making Armenia a more attractive destination for strategic investment. We also spoke about how Armenia’s tech industry can have a larger impact on the economy and what it will take to turn the country into a globally competitive innovation hub, including addressing the talent needs of the ecosystem.

Հայաստանի պետական պարտքին, դրա հետ կապված խնդիրներին ու տեսլականին անդրադարձող հոդվածի ՁայնաԳիրը։

Armenia's state debt is approaching $10 billion US, but to what extent is it manageable, and what risks does it have? Seda Ghukasyan explains.

Կենդանիների կաթնատվության և մթերատվության ավելացմանն ուղղված կառավարության ծրագրին անդրադարձող հոդվածի ՁայնաԳիրը։

Armenia’s government launched a state assistance program in 2019 for the creation of what they called “smart” barns to improve livestock care and increase milk production. Araks Mamulyan looks at the challenges and shortcomings.

Շահումով խաղեր և վիճակախաղեր կազմակերպող ընկերությունների գովազդային սահմանափակումների մասին հոդվածի ՁայնաԳիրը։

Although betting companies are among the largest taxpayers in Armenia, the state has decided to implement laws restricting ads for online betting and lotteries to mitigate the spread of gambling in the country.

Despite leading the region in many progressive metrics, the past few years have reinforced how peace isn’t something Armenia can take for granted: it must cultivate optimal conditions for innovation because of external threats, and that will take conscious architecting.

Despite being the second most populous country in the world, India has a relatively small diaspora. Still, they number nearly 25 million Indians in the world and are a major asset for the Indian economy.

The European Bank for Reconstruction and Development (EBRD) has been working in Armenia for the past three decades focusing on developing the country’s financial sector, supporting development of value-added industrial companies, improving the business environment and more. Head of EBRD’s Yerevan Resident Office, George Akhalkatsi, speaks to EVN Report about the organization’s activities and plans for the future.

Armenia hasn’t participated in any multilateral connectivity initiatives in the South Caucasus since independence, primarily due to the war with Azerbaijan. Since the 2020 Artsakh War, new projects are taking shape—again without Armenia’s participation.

Exploring the emerging AI industry landscape in Armenia is necessary to ensure not only that the country is in a position to advance the benefits of the “ideologized” technology, but also the resolve to mitigate future risks.

Հայկական դրամի արժևորման ու դրա հետևանքով ստեղծված խնդիրներին անդրադարձող հոդվածի ՁայնաԳիրը։

Navigating through the complexity of the triangular dimension of identity, trust and engagement infrastructure is the key to diaspora networks, their connection with the home country, and economic development.

Baku’s oil economy is not sustainable, as diminishing revenues in the long-term increase the probability of domestic instability in Azerbaijan, potentially triggering militarized interstate disputes.

Recent data warns of a demographic crisis in Armenia. In a country with a high rate of aging, programs are being implemented to boost birth rates. But are they effective?

For over 30 years, there has been a constant refrain on the righteousness of Armenia’s national aims and precious little about the means towards those ends, and the feasibility of those chosen goals.

The general state of flux and lack of clarity on Artsakh and the negotiation process has produced a great deal of uncertainty, precipitating important questions about nationhood, state-building, and how to move forward.

Two decades ago, the IT sector was declared a priority for Armenia. With natural talent, innovation and state privileges, the sector seems to be growing relatively fast. Yet, its influence on the country’s economy remains relatively low.

In EVN Report’s news roundup for the week of March 11: Azerbaijani Armed Forces are targeting Armenian settlements and military positions as the world’s attention is focused on the war in Ukraine; the European Parliament passes a resolution on the destruction of cultural heritage in Artsakh; Armenia’s National Security Service announces that it caught another spy network operating in Armenia and more.

Following Russia’s invasion of Ukraine, several Russian financial institutions were disconnected from SWIFT. Justin Tomczyk explains what SWIFT is and how blocking Russia from accessing it could impact the Armenian economy.

The rise of China has shifted the geopolitical center of gravity to the Indo-Pacific. What does this paradigm shift entail? How can Armenia navigate the transition and find its place on the world stage?

The Eurasian Economic Union’s common natural gas market is expected to be launched in 2025. If the deal goes through, could Armenia as a natural gas importing country benefit?

While there have been some positive developments in the Armenian dairy industry, its further development is being hampered by a number of factors. Economist Suren Parsyan explains.

The high level of centralization in Armenia’s sugar market has been maintained, allowing the main sugar importer, producer, wholesaler and retailer to leverage its market power into an arbitrary pricing policy.

A new tax hike on copper concentrate, molybdenum concentrate and ferromolybdenum places a burden on a sector that is critical to Armenia’s balance of payments and was implemented with an unwelcome urgency reducing regulatory certainty for potential investors.

After remaining on the sidelines of the 2020 Artsakh War, the EU seems to be back with a renewed and impressive strategy for Armenia. With this new agenda, is the EU trying to counterbalance the influence of other regional players?

The IT sector in Armenia is a strategic direction for the development of the country thanks to the relatively high level of scientific and educational potential of the population, and also one of the highest paid sectors.

Armenia and China share a rich history in which mercantilist Armenians played a noteworthy role in the exchange of goods along the Silk Road. Although the Armenian state today is vastly different from a millennium ago, that industrious character remains in the Armenian spirit.

Armenia’s tech sector is the fastest growing branch of Armenia’s economy. In post-war Armenia, expectations are even greater for the sector. Raffi Kassarjian, the Executive Director of the Union of Advanced Technology Enterprises (UATE) talks about the challenges and potential, the role of the Diaspora and more.

Compared to other markets in the Armenian economy, the telecommunications and communications market is highly competitive. Economist Suren Parsyan breaks it down.

Armenian citizens are heading to the polls on June 20 in an early parliamentary election. Over 20 parties and alliances of parties are running. Here is how some of those political forces envision Armenia’s economic development.

On the path to becoming a serious player in the global tech sector, Armenia needs to foster an environment that allows technology companies to achieve their business goals, which includes legal institutions to resolve complex disputes.

Lucrative economic ties with Azerbaijan have influenced the United Kingdom, Italy and Hungary, among others, in their stance during and after the 2020 Artsakh War.

There are a number of obstacles and barriers within the internal market of the EAEU. If solved quickly and effectively, it can create opportunities for mutual trade to grow, making it a productive vehicle for regional integration.

Armenia’s Government must quickly shape a coherent and powerful vision of what it wants to gain from the transport talks. If they get it wrong, the country is at risk of being outmaneuvered by Azerbaijan and taken advantage of by Russia.

Although the principle of equal pay for equal work for men and women is fully implemented in Armenia’s Labor Code, a gender pay gap persists. Lara Techekirian looks at the challenges, the government’s response and presents a set of recommendations.

It is widely believed that electric vehicles will transform human mobility and energy usage patterns. Could Armenia become a hub of innovation for electric mobility?

The lifting of blockades is presented as a benefit for Armenia, but some business leaders doubt that the Government is prepared for accompanying risks to the Armenian economy.

Late last year, Armenia’s national postal carrier announced an increase in prices for international shipments. Small businesses have been hit hard.

Taking into account Turkey’s overt support to Azerbaijan during the 2020 Artsakh War, Armenia’s government has decided to ban the import of Turkish goods for six months. The ban will take effect on December 31 of this year.

From widespread collectivization of farms during the Soviet era to privatization after independence in 1991, the state of agriculture in the three countries of the South Caucasus.

Armenia’s parliament recently approved property tax increases that led to a wave of debate and blowback. Astghik Karapetyan explains how the reform is being implemented.

The tourism industry has been particularly hard hit because of the COVID-19 pandemic. What does this mean for the three countries of the South Caucasus?

There is a growing view that the Eastern Partnership needs to formally move beyond its founding premise as a bridge between neighbors and to become a vehicle for significant economic integration and ultimately, perhaps, EU accession.

Armenian banks offer 9% interest on a one-year term deposit. Harout Manougian explains what you need to know before opening an account.

The nature of the strategic importance of oil and gas is changing. As energy policies adapt, Armenia will face a new global reality. Will it be ready for it?

The EU’s policy toward its neighbors has had several transformations, including a shift from a “one size fits all” approach to a “pick and choose” one. Anna Barseghyan explains.

What will change after the global COVID-19 pandemic and how can Armenia position itself to come out of the crisis in a stronger position? Samson Avetian breaks down the economic landscape.

In this week’s editorial, Maria Titizian writes that the COVID-19 pandemic has laid bare the vulnerability of workers in Armenia.

Armenia-Diaspora relations must be defined through state-centered institutions and transnational governance.This is a primer of a recently published White Paper on Armenia-Diaspora relations by Nerses Kopalyan.

Armenia’s advancement in the tech and innovation space is only in its infancy. In order to take the next step, domestic financial markets need to be well-aligned and sophisticated enough to provide the best possible support and take Armenian entrepreneurship and innovation to the next level.

The 21st century has witnessed the rapid encroachment by capitalism on what is referred to as the “commons,” writes Sjur Papazian. He argues that surplus from mining in Armenia could be placed in a permanent fund for the benefit of all.

Striving for gender equality in the labor market is essential to maximizing Armenia’s economic potential.

How should Armenia-Diaspora relations develop moving forward? This new White Paper argues that relations must be defined through state-centered institutions and transnational governance.

While the short-term crisis between Iran and the United States is over, the situation is far from stable, or certain, specifically due to the volatile domestic situation in Iran.

Armenia’s minimum wage is set to increase in 2020. When setting the minimum wage, governments need to take a balanced and evidence-based approach that considers the needs of workers and their families on the one hand and economic factors on the other.

China’s revolutionary and controversial Belt and Road Initiative, meant to link East and West, has dipped its toes into Armenia.

The International Republican Institute recently published its fourth public opinion survey since the Velvet Revolution. The survey found that a healthy majority of Armenians believe the country is heading in the right direction.

Deep tech startups are built on scientific and engineering discoveries and innovations. In the Armenian startup ecosystem, there are only a handful of deep tech startups. One of them is Krisp.

Global trends demand new requirements in education and labor markets. To remain competitive, a country has to embark on creating, developing and implementing innovation while focusing, more than ever, on the development of a knowledge-based economy and pushing research and development forward. How will Armenia fare?

Serious issues in the country’s mining sector is something this new government inherited from the former regime. Artur Grigoryan argues, however, that enough steps have not been taken to eradicate or even curb corruption in the sector.

Economist Ani Avetisyan looks at the recent decision by Armenia’s government to switch to a flat income tax system and argues that cutting tax rates is not an efficient tool for decreasing shadow economy if a country is institutionally underdeveloped.

What happens to those senior citizens in Armenia, who don’t have families who can or want to take care of them? There are only a handful of public and private old age homes, most suffering from lack of funding and poor services.

In the first of a series of articles, Dr. Lucyann Kerry proposes ways to reconfigure, reconnect and reconstruct the flow of resources, money/capital and human agency/interaction to revitalize the country based on successful models.

Mining has a potential to play a significant role in Armenia, however current gaps in legislation and poor monitoring and assessment presents many risks.

The majority of Armenia’s passenger and cargo transportation travels through the strategic Georgian land road of Lars, which is prone to natural disasters and often crippled because of congestion.

A historic post-revolution vote will take place across Armenia on December 7. As Armenians head to the polls to elect a new parliament, EVN Report brings you live updates of the vote.

Deepening already existing relations between Armenia and Georgia will only benefit the two countries, however, the potential for economic cooperation is not being realized to its fullest. Armenian and Georgian economists agree that political will is needed.

The election campaign for the upcoming snap parliamentary elections is in full swing. In this second installment, read about the main provisions and principles (translated from the original Armenian) from the campaign programs of the following political forces: Bright Armenia, National Progress, Sasna Tsrer, Country of Law, Prosperous Armenia, Citizen's Decision.

The election campaign for the upcoming snap parliamentary elections is in full swing. There are nine political parties and two coalition forces running for a seat in the country’s National Assembly. In a series of installments, EVN Report will present the main provisions and principles (translated from the original Armenian) from the campaign programs of those political forces.

Cross-border cooperation among environmental groups is imperative to ensure real environmental protection globally. Drawing examples from Armenia and Lebanon, Sophia Manukyan delves into the world of high-stake investments and assistance in heavy metal mining and waste management.

Education has the immense power to impact industries and the economy. Artashes Vardanyan writes about the need to transform the educational system to meet the needs of one particularly promising sector of Armenia's economy, the High-Tech industry.

Dr. Donald Fuller writes that there is an observable pattern that small state characteristics differ from larger states, particularly those that are not afflicted by the ‘resource curse.’ Institutions appear to be critical, trade can burnish the lack of natural resources and human capital offers a level of comparative advantage if carefully nurtured.

Ineffective governance and institutional corruption are among the factors preventing Armenia from getting on a track to sustainable development. Yeghia Tashjian writes that since politics is the determinant force of economic institutions, any positive change in political institutions will reflect positively on Armenia’s economic development.

As the world becomes increasingly connected, states are adopting national strategies to protect themselves against cybersecurity breaches. This article outlines the ongoing debate around the terms ‘information security’ and ‘cybersecurity’ and examines global developments, as well as, Armenia’s institutional and policy advancements.

The new Armenia-EU agreement can be considered a milestone in the history of modern Armenia and in Armenia-EU relations but how does it change the context of Armenia-Russia relations? And what does it mean for Armenia- from the future of the Nuclear Power Plant to rebranding the Armenian cognac?

Fish farms that showed up in the Ararat Valley in the early 2000s, as part of a development and poverty reduction program, have devastated the valley and Armenia’s second largest water basin. Now the state is trying to salvage the main hub of Armenia's agriculture and the strategically important water basin from desertification; trying to refill a bottomless well drop by drop.

Today, the demand for increased agricultural productivity to ensure food security, the use of genetically engineered crops and powerful conglomerates that control most of the world’s seed industry like Monsanto are threatening the lives and livelihoods of small farmers all over the world. This contentious global debate has now found its way to Armenia. EVN Report investigates.

EVN Report's contributor Kristen Anais Bayrakdarian, takes an exhaustive look at the travel and tourism sector in Armenia, including the need for investments in environmental sustainability and developing tourism infrastructure.

The favorable IT climate in Armenia is the reason for the recent software boom.There are more than 450 IT companies, which are employing more than 10 thousand software developers and engineers. Around two thirds of Armenian IT output is exported to over 20 countries. So what is standing between Armenia and its dream of building a "Silicon Mountain"?

The emerging startup ecosystem in Armenia is very vibrant but faces many challenges. Tech expert and startup enthusiast, Artashes Vardanyan takes a critical look at the existing beliefs in the startup sector that need to be readjusted to ensure future success.

The engine to a developed economy is the competitiveness of local businesses, because they are the building blocks of the economy and the country’s development. It is time for Armenia’s economy to advance to the next level of efficiency and each company has a unique role to play in this regard, writes Sona Grigoryan.

"Why Nations Fail" and why is Armenia's economy failing - Armen Grigoryan's case-study of Acemoglu's and Robinson's economic theories and their implications in Armenia's economy and politics.

The Diaspora has been an inherent component of Armenian reality since antiquity. Its enduring roots, affluent heritage and indispensability to the Armenian nation is difficult to challenge. This article examines the global entrepreneurial endowment of the Diaspora, how it developed and what its role can be today for the Republic of Armenia.

Arto Vaun writes about the passing of Artur Sargsyan, the man who broke through heavy police barricades to deliver food to the Sasna Dzrer and in doing so, became something of a legend.