Why Armenia?
Clear Value Proposition
Visible Yield Premium
10-year AMD government bonds are ~9.7–9.8%, versus ~4.2% (US) and ~2.7% (Germany)—a 500–700 bps spread.
Open, Investor-Friendly Rules
Equal treatment, 100% foreign ownership, free repatriation of capital/dividends; apartments/commercial fully open to foreigners (agricultural land via local company/lease).
Modern Access
Policy rates are stable, inflation is in target, and AMX/CBA infrastructure plus bank onboarding make bonds/deposits practical for non-residents.
Three Practical Avenues
Government & corporate bonds, bank deposits (AMD top retail high-single digits), and primary-market real estate (off-plan, staged payments).
Macro Snapshot
Growth
Real GDP +5.9% (2024); outlook ~4–4.5% (2025–27) as post-shock drivers normalize.
Inflation & Policy
Inflation ~3.4–3.9% mid-2025; policy rate 6.75% (Aug 5, 2025) → positive real rates.
FX
AMD broadly stable in 2025 with healthy reserves and disciplined policy.
Investor Protections & Openness
National treatment + 100% ownership, strong constitutional/property safeguards.
Treaty & arbitration access: BIT network and ICSID/New York Convention participation.
Profit repatriation: No FX transfer caps (after taxes).
Deposit insurance: Up to AMD 16m (AMD) / AMD 7m (FX) per bank.
Comparative Advantage
Metric (latest) | Armenia | US | EU (DE) | Georgia |
---|---|---|---|---|
10Y Gov't yield | ~9.74% (Aug 2025) | ~4.2% (Aug 2025) | ~2.7% (Aug 2025) | ~9%* (2025) |
Top retail deposit | AMD high-single digits | ~4–5% | ~1–3% | ~8% |
Policy rate | 6.75% (Aug 5, 2025) | 5.25–5.50%†| 2.00% (ECB deposit) | 8.00% (Jul 2025) |
CPI YoY | ~3.4% (Jul 2025) | ~3% | ~2% | ~4% |
10-Year Government Bond Yields Comparison
Practical Access
Banking & Deposits
Non-residents can open accounts (in-person or supported remotely by some banks); deposit guarantee in place.
Bonds
Primary via auctions; secondary on AMX (liquidity varies; buy-and-hold common).
Real Estate
Foreigners can buy apartments/commercial; off-plan with staged payments common; central Yerevan new-builds often ~$2,000–2,300/m².
Balanced Risk Note
Currency & Liquidity
AMD can move; secondary markets are thin, so early exits may require discounts.
Execution/Policy
Off-plan delivery timelines can slip; mortgage/tax incentives can phase down over time.
Geopolitics
Aug 8, 2025 White House peace signing/initialing reduced near-term conflict risk; implementation is ongoing—monitor updates.
Data as of Jul–Sep 2025; subject to change. Informational only. We are licensed attorneys, not investment advisers.
Armenia is located between Asia and Europe and occupies a land area of 29,800 sq km, with a population estimated to be around 3 million. The country is bordered by Turkey to the west, Georgia to the north, Azerbaijan to the east, and Iran to the south.
According to international rankings, Armenia is a relatively easy country where one could invest and establish a business. The World Bank study Doing Business 2014 ranked Armenia as the 37 easiest country with which to do business, out of the 189 surveyed. Furthermore, Armenia’s economic freedom ranks 41 among 178 countries, as stated within the 2014 Index of Economic Freedom.
Armenia is a member of the World Trade Organization, United Nations, Council of Europe, Commonwealth of Independent States, and other international organizations promoting economic cooperation. As of 2014, negotiations have panned out with the expectation of joining the Eurasian Economic Union comprised of Russia, Kazakhstan, and Belarus on January 1, 2015, a single economic market of 170 million people and a GDP of 2.7 trillion dollars.
Armenia has a continental climate with dry, sunny summers and cold, snowy winters. The country has a well-developed road and transportation network, alongside telephone, internet, and postal services. The international airport is located 12km away from the center of Yerevan. In terms of security, the country’s crime rate is quite low. There are both public and private schools, while the populace has an official literacy rate of 99.6%. Russian is the most popular foreign language at present, with English flanking at its heels. The capital city of Yerevan is home to over 1.1 million of the country’s population, with a wide array of choices in dining, entertainment and shopping. Malls cater to the populace with both local and international brands.
The banking system is well-regulated. There are strict bank secrecy laws which make it a crime to disclose information on bank accounts. HSBC Bank Armenia, as well as 20 other local and international banks offer a wide range of banking services that pay up to 8-9% in annual interest for deposits in US dollars.