Armenia watching Russia

The economic situation in Russia is influencing the Armenian economy, says Armenia’s Prime Minister Tigran Sarkisian. About 70% of foreign investment in Armenia comes from Russia, and therefore any deterioration of the Russian economic situation soon influences Armenia. The construction business in particular has been hit very badly.

The Armenian economy also relies on transfers of funds from foreign countries and these have also dramatically decreased, by almost 30%. Here as well the largest number of these transfers comes from Russia.

Sarkisian noted that as soon as the Russian economy regains stability and the oil price starts to increase transfers from Russia will likewise increase. He warned however that so far economic growth has stopped in Russia, and in fact its economy is contracting, but his Government is taking urgent measures to stabilise the situation in Armenia.