Economic activity 7.1% up in Armenia in Jan-July 2025

ArmInfo. In Armenia, economic activity growth in January-July 2025 slowed down to 7.1% per annum (from 9.6% in the same period of 2024). Moreover, the industrial  sector, which was one of the growth drivers a year earlier, is  weakening the pace of economic growth with the current decline.  According to the final data of the RA Statistical Committee, this is  accompanied by a reversal in the dynamics of foreign trade from  significant growth to a significant decline. According to statistics,  the slowdown in economic activity growth in January-July 2025 was  largely due to the deterioration in the annual dynamics of the  industrial sector from 15.7% growth to 9.8% decline and a strong  slowdown in the growth of the trade sector from 21.4% to 4.2%. A  noticeable increase in growth is noted in the energy complex - from  2.8% to 5.6%. At the same time, the service sector managed to  accelerate in annual growth from 4.5% to 10.6%, which was also noted  at a more pronounced pace in the construction sector - from 16.1% to  20.2%. There is no data on the agricultural sector, since the  Statistical Committee indicates them only in quarterly and annual  reports.

According to statistical data for January-July 2025, the trade sector  holds the lead in absolute value with a volume of 3.6 trillion drams  ($9.1 billion). The second place in terms of volume is occupied by  the service sector - 2.2 trillion drams ($5.6 billion), the third  place is occupied by the industrial sector - 1.5 trillion drams ($3.8  billion), and the fourth, due to the lack of data on the agricultural  sector, is occupied by the construction sector - 293.3 billion drams  ($751.5 million). The volume of electricity generation in January-  July 2025 amounted to 5557.6 million kWh, of which 862.9 million kWh  were generated in July alone. At the same time, in July 2025,  compared to July 2024, economic activity, on the contrary,  accelerated in growth to 8.9% (from 6.2% a year earlier), and in July  alone, growth slowed from 8.8% to 5.3% (against a more pronounced  slowdown in growth in July 2024 from 11.3% to 5.6%). Moreover, in  July 2025, the growth of the industrial sector accelerated from 2.5%  to 7.4%, whereas a year earlier in the same month, the dynamics were  recorded to exit from a 2.4% decline to a 2% growth. At the same  time, in July, there was a slowdown in growth in the construction  sector - from 21.1% to 15.2%, and a slight acceleration in growth in  the services sector - from 1.3% to 1.8%. At the same time, in the  energy complex, growth accelerated significantly in July - from 6.4%  to 23%, and in the trade sector imperceptibly - from 6.2% to 7%.

In annual terms (July 2025 to July 2024), all sectors demonstrated an  upward trend: the construction sector showed the highest annual  growth - 26.1%, followed by the energy complex - 14.8%, the services  sector - 11.1%, the industrial sector - 4.2%, and the trade sector -  3%. A year earlier, in July 2024 to July 2023, all sectors also  showed growth: the construction sector - by 17.7%, the trade sector -  by 14%, the energy complex - 6.1%, the service sector - by 4.9%, the  industrial sector - by 2.2%.

Against this background, Armenia's foreign trade turnover in  January-July 2025 amounted to 4.5 trillion drams ($11.4 billion),  down 42% per annum (against 95% growth a year ago). This is due to a  significant decline in both exports and imports - by 49.6% and 35.8%  per annum, respectively, while last year both indicators showed  significant growth - 2.2 times (exports) and 79.1% (imports). As a  result, the absolute value of exports for January-July 2025 amounted  to 1.7 trillion drams ($4.4 billion), and imports - 2.7 trillion  drams ($6.99 billion). In July 2025, compared to July 2024, foreign  trade turnover fell by 16.1% due to a decrease in both exports by  15.4% and imports by 16.5%, while a year earlier in July 2024,  compared to July 2023, foreign trade turnover showed growth of 35.3%  due to an increase in exports by 42.8% and imports by 30.7%.

Since 2023, the methodology for calculating the volume of generated  electricity has changed in statistical reports, namely, the volume of  electricity generated by autonomous producers has also begun to be  taken into account. For the agricultural sector, data are published  only in quarterly and annual statistical reports.  (The average  calculated exchange rate of the dram in January-July 2025 was 390.27  drams / $ 1).