Armenia to remain leader in terms of economic growth in EAEU next year - EDB

ArmInfo. Armenia will remain leader in terms of economic growth in the Eurasian Economic Union (EAEU) next year, according to a forecast by the Eurasian Development Bank (EDB).

In particular, according to the EDB, in 2024 the growth rate of Armenia's GDP will be 5.7%. The growth forecast has been raised on the back of strong domestic demand and improved expectations for remittance inflows. The start of work at the Amulsar field and stimulating fiscal policy will also support economic activity.

EDB analysts predict that in 2024, GDP growth will be achieved in the context of a stimulating fiscal policy, lower interest rates, the start of work at the Amulsar field, and a reduction in external demand with weakening activity in the world.

Bank analysts also predict that in the next financial year the inflation rate will accelerate to 3.6%, but inflation will remain in the target range, including due to the expansion of domestic demand.

An 8% reduction in the refinancing rate against the backdrop of maintaining inflation in the target range, maintaining the average annual dram exchange rate within 414 drams per dollar will contribute to faster growth rates of imports and maintaining the volume of remittance inflows.