Economic impact of COVID-19 pandemic in Armenia

Abstract

Relevance. The world will certainly remember 2020 as a serious challenge in all aspects of human life. At the same time, while developed countries, despite the severity of the economic crisis, have sufficient reserves to help their economies go through the recovery growth, developing economies turned out to be the most vulnerable. This article describes the consequences of the COVID-19 pandemic for the Armenian economy from the point of view of the most critical factors that have determined the country’s economic development over the past decade.

Research objective. The key goal of the study was to try to identify and assess the economic consequences of the COVID-19 pandemic in Armenia.

Data and methods. The study surveys macroeconomic indicators in Armenia over the past six months. The analysis is based on the statistical data characterizing the economic situation in Armenia and takes into account the key sectors of the economy as well as its weaknesses.

Results. Some sectors of the Armenian economy will be very vulnerable to the crisis resulting from the COVID-19 pandemic.

Conclusion. The main conclusion of the study is that at the moment the economic system of Armenia is at the stage of stagnation and, in the light of the pandemic, will move to the stage of economic recession in the medium term.