Armenian government outlines economic priorities in 2026-2031 program

The Pashinyan administration said in its 2026-2031 program that Armenia’s economic policy will focus on developing high-productivity and value-added, technology-based and export-oriented businesses, transforming the structure of the economy and further integrating Armenian businesses into regional and global value chains.

“Given new geopolitical realities, the restructuring of global value chains and technological developments, the government must continue its policy aimed at an open, inclusive, internationally integrated, competitive, knowledge-based and innovative economy, characterized by continued growth in productivity, employment and added value created.

Economic policy will focus on developing high-productivity and value-added, technology-based and export-oriented transparent businesses, transforming the structure of the economy, and further integrating Armenian businesses into regional and global value chains. At the same time, priorities will include creating a protected, favorable, predictable and reliable environment for investment, simplifying and digitizing regulations, competition and equal opportunities, the digital and technological modernization of businesses, the broad application of international standards, expanding access to finance, developing infrastructure and creating a competitive workforce,” the program states.

The philosophy of economic policy will be built around the following principles:

inclusive economic development — eliminating structural obstacles to the creation and development of businesses, preventing artificial monopolies, promoting and protecting competition, ensuring equal access to financial resources and economic opportunities, as well as creating favorable conditions for every citizen to realize their creative and entrepreneurial potential;

regional interconnectedness and global integration — developing transport and economic links, positioning Armenia as a trade and transit hub, and expanding access to new markets, investments and international value chains;

knowledge-based and technological transformation — increasing productivity and competitiveness through the application of science, innovation, digitalization, AI and data-driven governance;

competitive, high-quality and resilient economy — creating and developing products and services that meet international standards, diversifying export markets, sectors and sources of supply;

sustainable and balanced development — equitable distribution of economic growth among regions and social groups, environmental protection, efficient management and use of resources, and promotion of a circular economy.

The priority steps of economic policy will focus on:

· diversifying export markets and the product structure, which will be made possible by improving the quality of Armenian-origin products, broadly applying international standards, expanding logistics capabilities, using insurance instruments and integrating into global value chains;

· continuously increasing investment volumes, including by attracting multinational corporations and applying differentiated investment promotion instruments, and increasing the share of added value created by Deep Tech organizations, technology companies and startups in GDP.

Global and integrated economy

For Armenia’s long-term economic development, it is necessary to expand the country’s participation in international trade, investment flows and global value chains. The openness of the economy should be reflected not only in the growth of foreign trade volumes, but also in increasing added value in exports, diversifying markets and products, deepening international production links of local organizations, and positioning the Republic of Armenia as an investment and logistics hub.

Investment promotion and protection

With the aim of making Armenia one of the region’s most attractive investment destinations, the government will create a protected, predictable, transparent, stable and reliable investment environment. The government will focus not only on increasing the volume of attracted investments, but also on improving their quality and economic impact. Priority will be given to investment projects that contribute to creating high added value, transforming the economy technologically, increasing productivity and exports, developing the professional capabilities of the workforce and creating new high-productivity jobs.

To this end:

Legislation related to investment regulation (taxation, licensing, permits, inspections, bankruptcy and land relations) will be continuously improved, aligned with international best practices and modern investment policy approaches, increasing Armenia’s competitive advantage. In the context of developing cooperation with foreign states, the framework of international agreements on the promotion and mutual protection of investments will be reviewed and expanded in line with the Republic of Armenia’s investment priorities. A targeted policy will be implemented to attract production, research, technology and regional management centers of leading multinational companies in priority sectors. To this end, access to the necessary infrastructure and specialists will be ensured, and transparent, results-based incentives will be introduced. Through continuous post-investment support, reinvestment, the transfer of knowledge and technologies, workforce training and export expansion will be encouraged. A comprehensive system of modern economic and logistics infrastructure will be established, including specialized industrial zones and logistics hubs. These will provide investors with ready infrastructure, efficient supply chains and access to foreign markets. Mechanisms for investment by minority shareholders and effective protection of their rights will be introduced.

Diversification of exports and imports, including e-commerce

The Republic of Armenia’s foreign trade policy will focus on diversifying export markets and the structure of product groups, increasing the complexity of Armenian-origin products and exports, diversifying sources of imports, and increasing sales volumes of Armenian-origin goods through e-commerce. The government aims to double the volume of exports of Armenian-origin products.

In this direction:

Armenia’s preferential trade opportunities will be expanded by concluding new economic cooperation agreements with at least five countries. Local producers will receive support for targeted products and markets to become part of the supply chains of foreign retail networks, raise production standards and conclude long-term export contracts. Sources of supply for goods important to the economy will be diversified by attracting new supplier countries for at least 15 product groups. The issuance of certificates of origin for goods will be digitized and liberalized, ensuring a competitive and transparent system. At least 25 cold storage facilities and two agro-logistics centers will be launched for agri-food exports.

Tourism policy will focus on positioning the Republic of Armenia as a tourism hub and an attractive, high-quality, safe, peaceful and competitive year-round tourism destination. The goal is to increase the number of inbound tourist visits to at least 3 million annually by 2031, and the number of domestic tourist visits to at least 4.5 million. As a result, the government will seek to increase employment in the tourism sector by around 10%.

In this direction:

Tourism decentralization will be promoted and Armenia’s tourism offering will be diversified through the modernization of urban and rural tourism infrastructure, development of tourist routes and introduction of navigation systems. In particular, development programs will be implemented for Gyumri, Goris, Jermuk, Areni, Yeghegis, Dilijan and Dvin. The attraction of international hotel chains and recognized international brands in entertainment, leisure and services to the Republic of Armenia will be promoted. The Republic of Armenia will be positioned as a competitive destination for hosting international conferences, exhibitions, business meetings and major events. A unified digital management system for the tourism sector will be introduced, including comprehensive statistics on visits and the provision of digital services and tourism products.

Capital market development

Diversifying sources of financing and developing the capital market are important for ensuring long-term and productive economic growth.

To this end:

Legislation regulating the securities market will be improved to provide a predictable regulatory environment conducive to market development and aligned with international best practices. The entry of large and reputable companies with the potential to drive the market into the corporate securities market will be promoted, with the aim of establishing a track record of successful issuances and building investor confidence, while ensuring the involvement of at least 3 key issuers. At least 2 reputable catalytic intermediaries — organizations providing investment banking services — will be attracted to the capital market to provide issuers with professional services for structuring, pricing and placing securities issues and attracting investors. Co-financing instruments for the costs of securities issuance, international credit rating and professional consulting will be improved and continued to promote new issuances and increase companies’ readiness to enter local and international capital markets. Opportunities for local and foreign investors to invest in Armenian securities will be expanded through the development of automatic and recurring investment mechanisms using mobile and other digital solutions, as well as by providing foreign intermediaries with remote access to the exchange platform.