11-12 February 2019 Bangkok

ARMENIAArtem Aznaurian, MFA Armenia

Vienna Program of Action:

Priority 5 Structural economic transformation. Armenian Experience.

13.7

6.9

-14.1

2.2 4.77.2

3.3 3.6 3.20.2

7.5

20072008200920102011201220132014201520162017

GDP growth, %

2007

2012

2013

2014

2015

2016

2017

2018

2,853.3

3,512.0

3,680.0

3,852.0 3,512.0

3,524.0

3,872.0 4,219.4

GDP per capita, USD

2007 2010 2015 2016 2017

15.0 15.4 16.3 17.9 17.918.2 17.0 17.2 16.4 14.9

24.5 17.3 9.4 7.8 7.4

10.912.9

10.9 9.8 10.8

22.727.9 37.3 40.1 40.5

10.0 11.2 10.6 10.0 10.3

GDP Structure, %Industry Agriculture Construction

Trade Services Net taxes

8.86.9

2.75.0

6.912.5

10.6

4.6

9.2

1.6

7.5

14.5

2012 2013 2014 2015 2016 2017

Industry and Services Output Growth, %

Industry Services

Constraints

o Armenia’s geopolitical constraints call for deeper improvements across the economy than might be needed in less constrained environments to achieve similar development outcomes

However, pcckets of productivity and export strength have emerged, holding the promise of better trade and productivity in the future.

Priorities

Raising human capital through “free,dignified, and happy citizens.”

Stimulating more competition

Prudent use of natural resources, balancedwith social equity and economic efficiency

Promoting good governance and the rule oflaw, including combatting corruption

The document defines the strategies for sectorso road communication and construction, o information and high technologies, o energy system, o nature and environmental protection, o mining industry, o poverty reduction and sustainable

development, o regional and international economic

integration and cooperation,

and the measures aimed at their implementation.

• Number of ICT enterprises over 800• Number of employees in ICT sector over 18000• Average annual expansion since 2008 20%

In 2017 the IT growth accelerated at record 38.2%

• Share in the GDP 7%• Revenue earned in 2017 USD 600 mlnMajor foreign companies Microsoft, Synopsys, National Instruments, Mentor Graphics, Vmware have aveconsiderable share in the Armenian IT sector.

THE ENGINEERING CITY

launched in August 2018

Free Economic Zones (FEZ)

1. Alliance - electronics, precision engineering, pharmaceutics and biotechnologies, information technologies, alternative energy, industrial design and telecommunications

2. Meridian - jewelry, stones cutting and watch making

3. Meghri (near the Armenian border with Iran) - processing industries, electricity supply, trade, transportation and storage, tourism and entertainment.

Main functions: of the Foundation • promotional campaigns aimed at increased

international awareness of Armenia as a prime tourism destination;

• assisting Armenia based tour operators in participating at key international tourism expos;

• organizing trips to Armenia for international media and tour operators;

• developing new and diversified tour products, etc.

The number of visiting tourists has been showing stable growth at all times. In ten-year period it tripled. Since the adoption of the VPoA in 2014 the number of tourists coming to Armenia rose by 37%.