EDB revises Armenia's Q1 2024 GDP growth

YEREVAN, August 26. /ARKA/. The Eurasian Development Bank (EDB) highlighted a significant revision of Armenia's GDP for the first quarter of 2024 in its latest macroeconomic review.

According to the report, Armenia's GDP growth for the first half of 2024 was 6.5% year-on-year. The Statistical Committee of Armenia revised the GDP growth for Q1 2024, now estimating a 6.6% year-on-year increase for January-March, down from the previously reported 9.2% year-on-year growth. This revision is attributed to the reclassification of economic activities within the precious metals production sector.

Analysts noted that the economic growth in the first half of 2024 was driven by increased trade, financial activities, real estate operations, and growth in the manufacturing sector.

"Household consumption (+7.6% year-on-year in January-June) and investments (+13.1% year-on-year in January-June) provided substantial support to the economy," the report stated.

Armenia's 2024 state budget projects economic growth at 7%, with inflation targeted at 4% (±1.5%). Preliminary data shows that the country's economic activity index grew by 10.4% in January-June 2024 compared to the same period in 2023. The Central Bank of Armenia anticipates economic growth in 2024 to be within the range of 6.1-6.8%, with year-end inflation expected between 0.9-1.3%.