Foreign Investments in Armenia Decline, Major Decrease from Russia

In the first half of 2025, the net flow of foreign investments into Armenia reached approximately 48 billion drams. By comparison, this figure was 107.2 billion drams in the first half of 2024, according to data from Armenia's Statistical Committee. This decline in foreign investments is mainly attributed to significant withdrawals from Russia and offshore zones.

In the first half of 2025, there was a substantial outflow of investments from Russia amounting to 55.1 billion drams. This included a decrease in direct investments by almost 27 billion drams. For context, both figures were positive in 2024, totaling 10.2 billion drams and 8.7 billion drams, respectively.

The investment statistics also encompass payments made for goods and services. The drop in trade volume between Armenia and Russia is primarily linked to a decline in gold re-exports, which could have impacted the overall figures. The reduction in direct investments is likely related to a decrease in the activity of previously operating Russian IT companies in Armenia.

Luxembourg and Zvartnots

As seen in 2023, Luxembourg remains the primary destination for foreign investments due to its preferential tax regime. This is not surprising, as it hosts the headquarters of 'Corporacion America,' which is owned by the Armenian heritage Ernekyan family, known for its Argentine capital.

'Corporacion America' manages several dozens of airports worldwide, including Yerevan's Zvartnots and Gyumri's Shirak airports. In the first half of 2025, the flow of investments from Luxembourg amounted to 23.7 billion drams, with direct investments accounting for the entire volume.