The international bank has revised its GDP growth forecast for Armenia in 2024-2025, as stated in a report by the European and Central Asian regions of the bank. The report projects a GDP growth of 5.5% in 2024 and 4.9% in 2025, which is 0.8% and 0.4% higher than the previous forecast. In 2023, Armenia experienced a GDP growth of 8.7%, followed by a growth of 12.6% in 2022.

According to the current report, the bank predicts a 3.5% inflation rate in the South Caucasus countries, compared to 3.8% in 2023. The increasing trend in inflation is concerning for both Armenia and Georgia, as it is influenced by the significant influx of Russian gas and capital. Meanwhile, Armenia’s interest rate has been lowered from 13.75% to 12.5%. Furthermore, the report highlights a 12.5% increase in salaries.

These economic developments are crucial for Armenia’s future, shaping its financial landscape and providing insights into the country’s stability and potential for growth. It will be interesting to see how these revised forecasts and adjustments impact various sectors of Armenia’s economy in the coming years.