Industrial price index weakened due to decline in industrial sector 

ArmInfo. In Armenia, the industrial price index decreased in January-July 2025 compared to the same period in 2024, dropping from 102.8% to 102.5%. This was observed alongside a worsening annual trend in the industrial sector,  shifting from 15.7% growth to 9.8% decline, totaling 1.5 trillion  drams ($3.8 billion), as evidenced by  preliminary data from the RA  Statistical Committee.

At the same time, in July 2025, compared to  July 2024, the industrial price index slightly increased - from  103.7% to 104.3%. During this period, the industrial sector showed  growth with a moderate acceleration rate to 4.2% (up from 2.2% the  previous year). 

It is worth noting  that inflation was recorded in Armenia's consumer  market  during these periods under review. In  January-July 2025,  compared to the same period in 2024, inflation was 3.2%, and in July  2025 to July 2024, inflation was 3.4%, against deflationary 0.3% and  inflationary 1.4%, respectively, in the same periods a year ago.  Moreover, inflation in the consumer market was mainly supported by an  increase in food prices: in January-July 2025 compared to the same  period in 2024 - by 5.1%, and in July 2025 to July 2024 - by 4.9%,  whereas a year earlier in January-July 2024 an annual decline in food  prices of 2.7% was recorded and in July 2024 there was an annual  increase in prices of 1%. However, services continue to rise in  price: by 3% in January-July 2025 compared to the same period in 2024  and by 3.6% in July 2025 to July 2024, against almost similar growth  rates a year ago - 2.8% and 3.1%, respectively. 

This is accompanied by a slowdown in the growth of economic activity  in Armenia in January-July 2025 from 9.6% to 7% per annum, and in  July 2025 to July 2024 - an acceleration of growth from 6.2% to 9.1%.   At the same time, there is a deterioration in the annual dynamics of  foreign trade turnover in January-July 2025 to a 41.4% decline from  95% growth in the same period of 2024, as a result of a decline in  both exports - by 48.3%, and imports - by 35.8% (against a  significant growth in both exports and imports a year ago by 2.2  times and 79.1%, respectively). Moreover, in July 2025, compared to  July 2024, the volume of foreign trade fell by 14.3% due to a  reduction in  exports by 10.8% and imports by 16.5%, while in July  2024, compared to July 2023, foreign trade turnover showed growth of  35.3%, largely due to an increase in exports by 42.8%, rather than  imports by 30.7%. (The average settlement exchange rate of the dram  in January-July 2025 was AMD 390.27 /$1).