Fitch affirms Armenia's rating at 'BB-' with 'stable' outlook
20.07.2025,
07:57
Fitch Ratings has affirmed Armenia's long-term foreign currency Issuer Default Rating (IDR) at 'BB-' with a 'stable' outlook.
YEREVAN, July 19. /ARKA/. Fitch Ratings has affirmed Armenia's long-term foreign currency Issuer Default Rating (IDR) at 'BB-' with a 'stable' outlook.
As noted in the report published on the agency's website, Armenia's 'BB-' rating reflects robust macroeconomic policies and high growth rates that are helping to increase per capita income.
"These strengths are offset by the economy's small size, a budget deficit that will remain high compared to peers, weak external financing, high (albeit declining) dollarization of the financial sector, and geopolitical risks," Fitch analysts think.
Armenian economic figures and forecasts
Armenia's economic growth is projected at 5.1% in the 2025 state budget. According to the Central Bank's monetary policy report for the second quarter of this year, by the end of 2025, Armenia's GDP growth is expected to be 5.1-4.6%, depending on the scenario (A-B), in 2026 - 4.9-4.4%, in 2027 - 4.7-5%.
The EDB forecasts Armenia's GDP growth at 5.5% in 2025. The WB expects Armenia's economy to grow by 4% in 2025, the IMF - by 4.5%, the EBRD - by 5%, and the ADB - by 6%. According to the forecast of the Fitch Ratings agency, the republic's GDP growth in 2025 will be 5%, and in 2026-2027 - 4.7%. The UN expects the Armenian economy to grow by 5.2% in 2025.
As noted in the report published on the agency's website, Armenia's 'BB-' rating reflects robust macroeconomic policies and high growth rates that are helping to increase per capita income.
"These strengths are offset by the economy's small size, a budget deficit that will remain high compared to peers, weak external financing, high (albeit declining) dollarization of the financial sector, and geopolitical risks," Fitch analysts think.
Armenian economic figures and forecasts
Armenia's economic growth is projected at 5.1% in the 2025 state budget. According to the Central Bank's monetary policy report for the second quarter of this year, by the end of 2025, Armenia's GDP growth is expected to be 5.1-4.6%, depending on the scenario (A-B), in 2026 - 4.9-4.4%, in 2027 - 4.7-5%.
The EDB forecasts Armenia's GDP growth at 5.5% in 2025. The WB expects Armenia's economy to grow by 4% in 2025, the IMF - by 4.5%, the EBRD - by 5%, and the ADB - by 6%. According to the forecast of the Fitch Ratings agency, the republic's GDP growth in 2025 will be 5%, and in 2026-2027 - 4.7%. The UN expects the Armenian economy to grow by 5.2% in 2025.
