Armenia - Market Overview
Merchandise Trade between Armenia and Canada
Bilateral merchandise trade in 2018: Canadian exports to Armenia $10.4 million, Canadian imports from Armenia $24.6 million. (Source: Statistics Canada)
Why Armenia matters
- Armenia’s GDP in 2018 was US$12.4 billion with a growth rate of 5.2% from the previous year. The forecast for GDP growth is positive: 6.0% in 2019, 4.8% in 2020 and 4.5% in 2021. (Source: IMF World Economic Outlook, October 2019)
- Armenian goods have direct access to the markets of Kazakhstan, Kyrgyzstan, Belarus and Russia thanks to Armenia’s membership in the Eurasian Economic Union (EAEU) since 2015. Armenia is also a member of the World Trade Organization.
- The European Union is Armenia’s largest export market, partly as a positive outcome of the EU-Armenia Comprehensive and Enhanced Partnership Agreement (CEPA). The top products exported in 2018 were mineral ores (copper ores) and iron and steel. In 2018, the Armenia’s merchandise export to the EU totaled US$ 683 million, and Armenia’s merchandise import from the EU was estimated at US$1.1 billion. (Source: UN comtrade)
- Of the world's Armenian population estimated at 11 million, only 3 million live in Armenia, with the largest Armenian diaspora in Russia, the United States, Iran, France and Ukraine. Nearly 64,000 people of Armenian origin live in Canada. (Canada’s 2016 census)
- Armenia ranks 47th in the Ease of Doing Business ranking for 2020, having slipped from 41st in 2019. (Source: World Bank)
- Doing business in Armenia is not without its challenges. The investment climate remains unpredictable as illustrated by some high-profile cases of stalled foreign investment.
Sectoral opportunities in Armenia
Currently, 30 percent of Armenia’s energy comes from renewables - largely hydroelectricity. The Armenian government is also increasingly putting efforts into the development of wind and solar energies, the latter being the most promising given the amount of annual sunshine in Armenia. The Government of Armenia, in collaboration with the European Bank for Reconstruction and Development (EBRD), is also expected to move forward with the construction of several new solar power plants.
In Armenia, there is eagerness from youth, industry, government officials and universities to collaborate and deepen relations with Canadian institutions. Language training in both French and English is popular among Armenian students.
Information and communication technologies
The high-tech industry is one of the fastest growing in Armenia. It holds potential for trade expansion with Canada, particularly in the ICT sector, where niches can be identified. Armenia’s newly established Ministry of High Technologies (2019) demonstrates the country’s interest in the development of this sector and the digital economy. Armenia was the host of the World Congress on Information Technology in 2019.
The construction of the North-South Corridor, a road of 600km connecting Armenia’s borders and beyond, provides business opportunities for Canadian enterprises in the infrastructure industry, including many related sectors such as transportation, signaling, design and engineering consulting services.
- Doing business in Armenia 2020 - World Bank
- Armenia overview - European Bank for Reconstruction and Development
- Customs Service of the Republic of Armenia
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