Economy - overview:
Under the old Soviet central planning system, Armenia developed a modern industrial sector, supplying machine tools, textiles, and other manufactured goods to sister republics, in exchange for raw materials and energy. Armenia has since switched to small-scale agriculture and away from the large agro industrial complexes of the Soviet era. Armenia has only two open trade borders - Iran and Georgia - because its borders with Azerbaijan and Turkey have been closed since 1991 and 1993, respectively, as a result of Armenia's ongoing conflict with Azerbaijan over the separatist Nagorno-Karabakh region.

Armenia joined the World Trade Organization in January 2003. The government has made some improvements in tax and customs administration in recent years, but anti-corruption measures have been largely ineffective. Armenia will need to pursue additional economic reforms and strengthen the rule of law in order to raise its economic growth and improve economic competitiveness and employment opportunities, especially given its economic isolation from Turkey and Azerbaijan.

Armenia's geographic isolation, a narrow export base, and pervasive monopolies in important business sectors have made it particularly vulnerable to volatility in the global commodity markets and the economic challenges in Russia. Armenia is particularly dependent on Russian commercial and governmental support, as most key Armenian infrastructure is Russian-owned and/or managed, especially in the energy sector. Remittances from expatriates working in Russia are equivalent to about 12-14% of GDP. Armenia joined the Russia-led Eurasian Economic Union in January 2015, but has remained interested in pursuing closer ties with the EU as well, signing a Comprehensive and Enhanced Partnership Agreement with the EU in November 2017. Armenia’s rising government debt is leading Yerevan to tighten its fiscal policies – the amount is approaching the debt to GDP ratio threshold set by national legislation.

GDP (purchasing power parity):
$28.34 billion (2017 est.)
$26.37 billion (2016 est.)
$26.3 billion (2015 est.)
note: data are in 2017 dollars
country comparison to the world (CIA rank, may be based on non-current data): 136
[see also: GDP country ranks ]

GDP (official exchange rate):
$11.54 billion (2017 est.)
[see also: GDP (official exchange rate) country ranks ]

GDP - real growth rate:
7.5% (2017 est.)
0.3% (2016 est.)
3.3% (2015 est.)
country comparison to the world (CIA rank, may be based on non-current data): 12
[see also: GDP - real growth rate country ranks ]

GDP - per capita (PPP):
$9,500 (2017 est.)
$8,800 (2016 est.)
$8,800 (2015 est.)
note: data are in 2017 dollars
country comparison to the world (CIA rank, may be based on non-current data): 142
[see also: GDP - per capita country ranks ]

Gross national saving:
17.8% of GDP (2017 est.)
16.6% of GDP (2016 est.)
18.4% of GDP (2015 est.)
country comparison to the world (CIA rank, may be based on non-current data): 112
[see also: Gross national saving country ranks ]

GDP - composition, by end use:
household consumption: 76.7% (2017 est.)
[see also: GDP - composition, by end use - household consumption country ranks ]
government consumption: 14.2% (2017 est.)
[see also: GDP - composition, by end use - government consumption country ranks ]
investment in fixed capital: 17.3% (2017 est.)
[see also: GDP - composition, by end use - investment in fixed capital country ranks ]
investment in inventories: 4.1% (2017 est.)
[see also: GDP - composition, by end use - investment in inventories country ranks ]
exports of goods and services: 38.1% (2017 est.)
[see also: GDP - composition, by end use - exports of goods and services country ranks ]
imports of goods and services: -50.4% (2017 est.)
[see also: GDP - composition, by end use - imports of goods and services country ranks ]

GDP - composition, by sector of origin:
agriculture: 16.7% (2017 est.)
[see also: GDP - composition, by sector of origin - agriculture country ranks ]
industry: 28.2% (2017 est.)
[see also: GDP - composition, by sector of origin - industry country ranks ]
services: 54.8% (2017 est.)
[see also: GDP - composition, by sector of origin - services country ranks ]

Agriculture - products:
fruit (especially grapes and apricots), vegetables; livestock

Industries:
brandy, mining, diamond processing, metal-cutting machine tools, forging and pressing machines, electric motors, knitted wear, hosiery, shoes, silk fabric, chemicals, trucks, instruments, microelectronics, jewelry, software, food processing

Industrial production growth rate:
5.4% (2017 est.)
country comparison to the world (CIA rank, may be based on non-current data): 51
[see also: Industrial production growth rate country ranks ]

Labor force:
1.507 million (2017 est.)
country comparison to the world (CIA rank, may be based on non-current data): 131
[see also: Labor force country ranks ]

Labor force - by occupation:
agriculture: 36.3%
[see also: Labor force - by occupation - agriculture country ranks ]
industry: 17%
[see also: Labor force - by occupation - industry country ranks ]
services: 46.7% (2013 est.)
[see also: Labor force - by occupation - services country ranks ]

Unemployment rate:
18.9% (2017 est.)
18.8% (2016 est.)
country comparison to the world (CIA rank, may be based on non-current data): 183
[see also: Unemployment rate country ranks ]

Population below poverty line:
32% (2013 est.)
[see also: Population below poverty line country ranks ]

Household income or consumption by percentage share:
lowest 10%: 3.5%
[see also: Household income or consumption by percentage share - lowest 10% country ranks ]
highest 10%: 25.7% (2014)
[see also: Household income or consumption by percentage share - highest 10% country ranks ]

Distribution of family income - Gini index:
31.5 (2014)
31.5 (2013 est.)
country comparison to the world (CIA rank, may be based on non-current data): 125
[see also: Distribution of family income - Gini index country ranks ]

Budget:
revenues: 2.644 billion (2017 est.)
[see also: Budget - revenues country ranks ]
expenditures: 3.192 billion (2017 est.)
[see also: Budget - expenditures country ranks ]

Taxes and other revenues:
22.9% (of GDP) (2017 est.)
country comparison to the world (CIA rank, may be based on non-current data): 130
[see also: Taxes and other revenues country ranks ]

Budget surplus (+) or deficit (-):
-4.8% (of GDP) (2017 est.)
country comparison to the world (CIA rank, may be based on non-current data): 167
[see also: Budget surplus (+) or deficit (-) country ranks ]

Public debt:
53.5% of GDP (2017 est.)
51.9% of GDP (2016 est.)
country comparison to the world (CIA rank, may be based on non-current data): 89
[see also: Public debt country ranks ]

Fiscal year:
calendar year

Inflation rate (consumer prices):
0.9% (2017 est.)
-1.4% (2016 est.)
country comparison to the world (CIA rank, may be based on non-current data): 44
[see also: Inflation rate (consumer prices) country ranks ]

Central bank discount rate:
6.5% (14 December 2016)
10.5% (10 February 2015)
note: this is the Refinancing Rate, the key monetary policy instrument of the Armenian National Bank
country comparison to the world (CIA rank, may be based on non-current data): 57
[see also: Central bank discount rate country ranks ]

Commercial bank prime lending rate:
14.41% (31 December 2017 est.)
17.36% (31 December 2016 est.)
note: average lending rate on loans up to one year
country comparison to the world (CIA rank, may be based on non-current data): 47
[see also: Commercial bank prime lending rate country ranks ]

Stock of narrow money:
$1.629 billion (31 December 2017 est.)
$1.355 billion (31 December 2016 est.)
country comparison to the world (CIA rank, may be based on non-current data): 141
[see also: Stock of narrow money country ranks ]

Stock of broad money:
$1.629 billion (31 December 2017 est.)
$1.355 billion (31 December 2016 est.)
country comparison to the world (CIA rank, may be based on non-current data): 149
[see also: Stock of broad money country ranks ]

Stock of domestic credit:
$6.712 billion (31 December 2017 est.)
$5.689 billion (31 December 2016 est.)
country comparison to the world (CIA rank, may be based on non-current data): 120
[see also: Stock of domestic credit country ranks ]

Market value of publicly traded shares:
$132.1 million (31 December 2012 est.)
$139.6 million (31 December 2011 est.)
$144.8 million (31 December 2010 est.)
country comparison to the world (CIA rank, may be based on non-current data): 121
[see also: Market value of publicly traded shares country ranks ]

Current account balance:
-$328 million (2017 est.)
-$238 million (2016 est.)
country comparison to the world (CIA rank, may be based on non-current data): 107
[see also: Current account balance country ranks ]

Exports:
$2.361 billion (2017 est.)
$1.891 billion (2016 est.)
country comparison to the world (CIA rank, may be based on non-current data): 134
[see also: Exports country ranks ]

Exports - partners:
Russia 24.2%, Bulgaria 12.8%, Switzerland 12%, Georgia 6.9%, Germany 5.9%, China 5.5%, Iraq 5.4%, UAE 4.6%, Netherlands 4.1% (2017)

Exports - commodities:
unwrought copper, pig iron, nonferrous metals, gold, diamonds, mineral products, foodstuffs, brandy, cigarettes, energy

Imports:
$3.771 billion (2017 est.)
$2.835 billion (2016 est.)
country comparison to the world (CIA rank, may be based on non-current data): 141
[see also: Imports country ranks ]

Imports - commodities:
natural gas, petroleum, tobacco products, foodstuffs, diamonds, pharmaceuticals, cars

Imports - partners:
Russia 28%, China 11.5%, Turkey 5.5%, Germany 4.9%, Iran 4.3% (2017)

Reserves of foreign exchange and gold:
$2.314 billion (31 December 2017 est.)
$2.204 billion (31 December 2016 est.)
country comparison to the world (CIA rank, may be based on non-current data): 119
[see also: Reserves of foreign exchange and gold country ranks ]

Debt - external:
$10.41 billion (31 December 2017 est.)
$8.987 billion (31 December 2016 est.)
country comparison to the world (CIA rank, may be based on non-current data): 113
[see also: Debt - external country ranks ]

Stock of direct foreign investment - at home:
$4.169 billion (2015 est.)
$4.087 billion (31 December 2014 est.)
country comparison to the world (CIA rank, may be based on non-current data): 109
[see also: Stock of direct foreign investment - at home country ranks ]

Stock of direct foreign investment - abroad:
$228 million (2015 est.)
$215 million (2014 est.)
country comparison to the world (CIA rank, may be based on non-current data): 107
[see also: Stock of direct foreign investment - abroad country ranks ]

Exchange rates:
drams (AMD) per US dollar -
487.9 (2017 est.)
480.49 (2016 est.)
480.49 (2015 est.)
477.92 (2014 est.)
415.92 (2013 est.)