Doing business in Armenia
Armenia is a country rich in culture and centuries of history. It occupies an area of 29,800 square kilometers, bordered by Turkey to the west, Georgia to the north, Azerbaijan to the east, and Iran to the south, which makes it a great gateway to both the Eurasian Economic Union and the Middle East. The population is around 3 mn, 1.1 mn of whom live in the capital, Yerevan.
Currently, the country is experiencing significant GDP growth. After a flat 2016, GDP has grown significantly in the last two years: 7.5% in 2017 and 5% in 2018. It offers a range of opportunities for business development and benefits from the European Union’s Generalised Scheme of Preferences plus (GSP+) arrangement, with advantageous access to the EU market and reduced export taxes. Furthermore, the Comprehensive and Enhanced Partnership Agreement was signed between Armenia and the EU in 2018, which significantly extends and simplifies cooperation and trade with the EU. Apart from being a significant partner of the EU, the country is a member of the Eurasian Economic Union (EAEU), which grants it duty-free trade with Kazakhstan, Russia, Belarus, and Kyrgyzstan. In 2018, Armenia ranked 44th in the index of economic freedom issued by The Heritage Foundation and 41st in the World Bank’s ‘’Ease of Doing Business’’ report. A high degree of economic freedom makes Armenia a safe partner in the EAEU market.
Currently the government focuses on supporting and developing private businesses and the energy, agriculture, food processing, transportation, health, and education sectors. Promotion of the IT sector, pharmaceuticals, and tourism is defined as a priority for the economic development of Armenia and has the full support of the government. Within the last ten years, Armenia has become a regional leader in IT and high-tech industries, and is a global IT hot spot and a new hub for quality software outsourcing. The Global Innovation Index 2017 ranks Armenia as an “Innovation achiever”, a country that outperforms in innovation relative to the country’s overall level of development.
The country is very attractive for pharmaceutical industry participants, offering high-quality solutions at reasonable local prices. Everything from manufacturing new drugs or generics and conducting clinical trials to developing healthcare software is possible in Armenia.
5 reasons to invest in Armenia
SCHNEIDER GROUP can help you with
- Accounting outsourcing and taxation
- Interim management
- Business setup
- Legal and compliance services (including regulatory services)
- Recruiting and outstaffing
- Import and export, customs clearance and support, certification
- Market representative
- Business workshops and trainings