IMF Staff Country Reports

This paper presents Armenia’s 2023 Article IV Consultation and Second Review under the Stand-By Arrangement and Request for Modifications of Performance Criteria and Monetary Policy Consultation Clause. The Armenian authorities continue to treat the SBA as precautionary. Armenia’s strong growth momentum continued through 2023. Supported by robust private consumption and investment, the economy is projected to grow by 7 percent in 2023 before moderating to 5 percent in 2024. Armenia’s economy has managed to overcome recent external shocks and faces a favorable outlook, with strong growth in the context of moderate inflation. The program performance remains broadly satisfactory. Key policy priorities include preserving macroeconomic stability, building fiscal buffers to support priority infrastructure and social spending, managing fiscal risk, enhancing the monetary policy, macroprudential, and supervisory frameworks, and strengthening economic resilience by advancing structural reforms in the labor and product markets, access to finance, and governance.