Economic reforms put Armenia on radar of yield-hungry investors

Economic reforms put Armenia on radar of yield-hungry investors
  • Posted on 18.11.2019

When Armenia opened books for a Eurobond two months ago, demand was four times bigger than the offering, highlighting the new-found appeal of the tiny ex-Soviet republic among investors hungry for yield in a world of negative interest rates.

When Armenia opened books for a Eurobond two months ago, demand was four times bigger than the offering, highlighting the new-found appeal of the tiny ex-Soviet republic among investors hungry for yield in a world of negative interest rates.

After peaceful protests last year installed a reform-minded government, Armenia's economy is growing faster than oil-rich Azerbaijan next door, bolstering investors' willingness to lend to the impoverished, landlocked nation of three million people.

Prime Minister Nikol Pashinyan's government has adopted a reform programme that aims to strengthen Armenia's institutions and the rule of law, improve the business environment and clamp down on corruption.

It plans to increase the share of investment to gross domestic product (GDP) to 23-25% in the next four years from around 20% now and to raise the share of exports to 43-45% of GDP from 37%.

 

Full story available at: https://www.nasdaq.com/articles/economic-reforms-put-armenia-on-radar-of-yield-hungry-investors-2019-11-07