According to the latest Macroeconomic Review by the Eurasian Development Bank (EDB), Armenia's economy is set to maintain growth in the coming years, albeit at a more moderate pace compared to recent periods.
In 2025, the country's GDP is projected to increase by 5.5%, driven by a stimulative fiscal policy and easing monetary conditions. Over the subsequent two years, economic growth is expected to gradually converge toward its long-term trend, reaching 5.3% in 2026 and 5.0% in 2027.
The EDB anticipates that external factors will also positively impact Armenia's economic development. Analysts forecast accelerated economic growth in China and a rebound in business activity within the Eurozone in 2025. Meanwhile, despite some slowdown, economic expansion in Russia and the United States is expected to remain robust.
"Stable external demand for exported goods, rising global copper prices, and the recovery of remittance inflows after a decline in 2024 will provide additional support to Armenia's economy," the report states.
On the inflation front, experts predict a return to the target range (4±1.5%) as early as the first quarter of 2025, with inflation settling at 3.1% by year-end. In 2026–2027, inflation is expected to decelerate further to an average annual rate of 2.8%, driven by the stability of the Armenian dram, steady global food prices, and the normalization of economic growth rates.
