Armenian railway must become competitive: PM

Armenia has no issue with Russian concession management of its railway but wants to make the railway more competitive, Prime Minister Nikol Pashinyan has said.

At a press briefing, Pashinyan was asked to comment on his meeting the previous day with Oleg Belozyorov, Director General and Chairman of the Management Board of Russian Railways, which holds the concession to manage Armenia’s railway system.

“The head of Russian Railways had arrived in Armenia at my invitation, and in my opening remarks I said that we have no problem with the Russian concession; our only concern is that our railway must be competitive. Our analyses aimed at achieving this goal show that the rational approach is to change the format of concession management, that is, to delegate it to third countries,” Pashinyan said.

The prime minister added that if Russian partners say they know how to resolve this issue, the Armenian government is ready to discuss their proposals.

“As a result of yesterday’s discussion, I said, ‘Very well, then let us form a group that will provide answers within three months to the questions of how Armenia’s railway is to become competitive, especially given that parallel processes are taking place. They say that sanctions do not hinder this,’” the prime minister noted.

The restoration of the Ijevan–Hrazdan railway, connecting the Ijevan–Hrazdan railway branch to the Vanadzor–Gyumri branch, and the construction of a facility for changing railway wheelsets in Akhurik are strategic objectives for the Armenian government.

“As you know, the railway tracks in the post-Soviet space and in Europe differ, which is why there was a depot there during the Soviet era where wheelsets were changed,” Nikol Pashinyan said.

In May 2026, Nikol Pashinyan announced that Armenia wanted to change the approach to Russian concession management of the railway so that sanctions-related obstacles would not hinder the development of the country’s railway system.

Russia manages Armenia’s railway under a concession through South Caucasus Railway. Prime Minister Nikol Pashinyan had previously spoken about the issue, noting that Russian concession management deprives Armenia of certain competitive advantages and proposing that management be transferred to a third country friendly to both Armenia and Russia.