ArmInfo. In Armenia, the industrial price index increased in January- March 2025 compared to the same period in 2024, rising from 99.7% to 102.1%. This increase occurred alongside a decline in the annual growth rate of the industrial sector, dropping from 30.4% to 18.5% , with a total volume of 599.8 billion drams ($ 1.5 billion). This is evidenced by the preliminary data from the RA Statistical Committee.
According to statistics, in March 2025, the industrial price index also increased from 100% to 101.9% compared to March 2024. During this period, the industrial sector also experienced a notable decline in volumes by 16.9%, whereas a year ago there was a significant growth of 33.5%. It is noteworthy that inflation was observed in the consumer market of Armenia during this period. Specifically, in January- March 2025, compared to the same period in 2024, inflation was 2.5%, and in March 2025 to March 2024, inflation was 3.3%, against the equally deflationary 1.2% in the same periods a year ago.
Moreover, inflation in the consumer market was primarily driven by an increase in food prices: in January-March 2025 compared to the same period in 2024 - by 4.1%, and in March 2025 to March 2024 - by 5.4%, whereas a year earlier in the same periods a decline in food prices was recorded - by 4.9% and 4.3%, respectively. Services have also seen a rise in prices, increasing by 2.7% in January-March 2025 compared to the same period in 2024, and by 2.9% from March 2025 to March 2024. These rates aret almost the same as a year ago - 3% and 2.5%, respectively. It is worth noting that this is accompanied by a slowdown in the growth of economic activity in Armenia in January-March 2025 from 14.3% to 4.1% per annum, and in March 2025 to March 2024 - from 15.3% to 3.7%. Additionally, there has been a deterioration in the annual dynamics of foreign trade turnover in January-March 2025, dropping by 54.2% compared to a growth of 2.1 times in the same period in 2024. This decline is a result of a both exports and imports decreasing by 61.8% 47.9% respectively (compared to a significant growth of both exports and imports the previous year by 2.7 times and 75.8%, respectively). Moreover, in March 2025, compared to March 2024, foreign trade fell by 31.8% due to a decrease in exports by 65.4% and imports by 51.2%. In March 2024, compared to March 2023, foreign trade turnover showed a significant increase of 2.1 times due to a 3-fold jump in exports and a 56.2% increase in imports. (The average settlement exchange rate of the dram in January- March 2025 was AMD 395.42 /$1).
