ArmInfo. Armenia's economic activity increased by 10.5 percent in January 2023 compared to January 2022 (against 15.4% growth a year earlier), far exceeding the pre- Covid 6.1% growth in the same period in 2019. In January alone, economic activity decreased by 46.1% (against a 45% decline in January 2022 and a 46.9% decline in January 2019), and the decline was recorded in all areas.
This is evidenced by the preliminary data of the RA Statistical Committee, according to which the y-o-y growth in January was provoked to a greater extent by the service sector, trade and the construction sector, to a lesser extent by the industrial sector, while the energy complex showed a decline.
According to statistical data, in January, the largest y-o-y growth, even in double digits, was recorded in the service sector- 25.9%, the trade sector - 17.7%, the construction sector - 12.2%, against which the growth of the industrial sector looked too modest - 1.4% , and only in the energy sector a decline of 1.5% was recorded . Data for the agricultural sector have not been published. A year earlier, in January 2022 by January 2021, growth was shown by all industries: the service sector - 21.2%, the energy complex - 19.2%, the industrial sector - 16.6%, the trade sector - 11.5%, the construction sector - 3%. As a comparison, we note that in the pre-Covid similar period (January 2019 to January 2018), growth was shown only by the construction sector, the trade sector and the service sector - respectively 22.1%, 19.3% and 15.6%, while the industrial sector and the energy complex were in decline by 0.4% and 26.3%, respectively.
In January 2023 alone, the most significant decline was recorded in the construction sector - by 85.9%, then the trade sector followed in descending rates - 44.9%, the industrial sector - 41.9%, the service sector - 17.7%, the energy complex - 3, 8%. A year earlier, in February 2022, the only growth was observed in the energy complex - by 7.1%, while other areas showed a decline: the construction sector - 86.5%, the trade sector - 41.9%, the industrial sector - 37.8%, the service sector - 16.2%. In the pre-covid 2019, in February, as now, a decline was recorded in all areas: construction - 87.2%, trade - 48.9%, industrial sector - 28.7%, services - 28.1%, energy complex - 8.8%.
The price index of industrial products increased in January 2023 by 1.6% per annum, with an increase of 3% in January alone. A year earlier, in January 2022, an increase in the price index of industrial products by 9% per annum was recorded, with an increase by 0.9% in January alone. And in the pre-Covid 2019, the industrial price index recorded a decline in January at both y-o-y (2.6%) and (0.3%) monthly rates.
In January 2023, the trade sector is leading in absolute terms with a volume of 292.9 billion drams ($739.9 million). The service sector ranks 2nd - 215.96 billion drams ($545.5 million), the industrial sector ranks 3rd with a volume of 177.7 billion ($448.8 million), and due to the lack of data from the agricultural sector traditionally occupying 4th place, the construction sector ranks 4th with a volume of 16.03 billion drams ($40.5 million). The volume of electricity generation in January 2023 amounted to 871.7 million kWh.
Against this background, Armenia's foreign trade turnover in January 2023 amounted to 514.4 billion drams ($1.3 billion) with a y-o-y growth of 93.8%. This was the result of a 2.3-fold increase in exports - up to 226.6 billion drams ($572.8 million), with a slightly restrained increase in imports by 72.5% - up to 287.8 billion drams ($727.1 million). In January 2023 alone, foreign trade turnover decreased by 18.3% due to a decline in imports by 28.2% and exports by 1.1%.
A year earlier, in January 2022, the y-o-y growth of foreign trade turnover was 60.4%, due to an increase in exports by 53.2% and imports by 65%, while in January 2022 alone, a decline in imports by 33.9% and exports by 17.9% led to a reduction in foreign trade turnover by 28.7%. In pre-Covid 2019, in January, foreign trade turnover showed a decline both on a y-o-y terms (7.6%) and on a monthly terms (28.9%), which was largely due to exports, which decreased by 15.8% per year and by 30.1% per month, rather than imports (3.3% per year and 28.4% per month).
The average settlement rate of the dram in January 2023 was 395.89 AMD/$1, compared to 481.99 AMD/$1 in January 2022.
