Armenian Diaspora invests into Armenian economy

Annual bank transfers from foreign countries to the Armenian economy amounts to around USD 3 bln. Therefore it could be assumed that the Armenian Diaspora worldwide plays a huge role in the economic life of the country. Former PM of Armenia Grant Bagratian thinks that Armenia is not using the potential of its Diaspora appropriately as the transferred money is not spent properly. Money transfers go to relatives of Diaspora members but this money is spent on buying products instead of being invested in developing the country. The citizens buy products produced by monopolistic companies belonging to oligarchs thus investing in foreign economies instead of their own. To improve the situation Bagratian thinks competition in the market must increase. Armenia has no problems with a lack of investment but the business environment in the country should be improved and investments should be more efficiently utilized.