Economic activity in Armenia grows due to construction and industry - World Bank

YEREVAN, June 25. /ARKA/. Economic activity grew 5.4 percent (yoy) in April, up from 3.7 percent (yoy) in March. This is stated in the World Bank’s June report “Monthly Economic Developments in Armenia”, published by the press service of the Armenian representative office of the World Bank.

Cumulatively over the January-April period, growth reached 4.4 percent.

“Greater economic activity in April, compared with March, came on the back of faster construction growth (up 18 percent, yoy) and lower contraction in industry (down 8.7 percent, yoy). This was driven by higher growth in electricity and energy production and less slowdown in manufacturing (down 16 percent, yoy, in April, compared with 26 percent, yoy, in March)’’, WB experts note.

Mining grew 4 percent, in terms of services, trade and non-trade services increased 3.2 percent and 5.6 percent, respectively, almost half the growth recorded in March (10.1 percent,). Monthly business registrations fell 7.1 percent, driven by a 10.4 percent drop in individual entrepreneur registrations.

On the demand side, growth in Q1 2025 was driven mostly by private consumption (up 15.3 percent). “Gross capital formation grew 7 percent, a small contribution to growth, with net exports contributing negatively”, the document notes.

According to Armstat, economic activity in Armenia, according to preliminary statistical data, in January-April 2025 registered growth of 4.4% compared to the first four months of 2024. At the end of 2024, economic activity growth was 8%.