Natalia Bayona,
Executive Director, UN Tourism

Tourism Doing Business – Investing in Armenia is an essential resource for investors and tourism professionals seeking in-depth knowledge about Armenia's tourism sector and the investment opportunities it presents.

The guide helps investors to make informed decisions by showcasing Armenia’s unique cultural heritage, robust economic growth, and supportive business environment, all which position the country as a compelling destination for tourism investment.

ECONOMIC OUTLOOK 

The guide begins with an overview of Armenia's macroeconomic landscape, highlighting its impressive GDP growth of 8.7% in 2023, the fastest in Europe. Despite global economic challenges, Armenia has shown remarkable resilience, with robust growth expected to continue. With a GDP of USD 24.2 billion, Armenia’s economic landscape is marked by significant contributions from the services sector, particularly tourism, which has become a cornerstone of the economy. Looking ahead, the growth rate is expected to moderate to 6.0% in 2024, positioning Armenia as the third fastest-growing economy in Europe. This steady economic performance makes Armenia an attractive destination for investment.

INVESTMENT OUTLOOK 

Armenia's investment climate is thriving, with Foreign Direct Investment (FDI) inflows reaching almost USD 1 billion in 2022, the highest on record. This trend continued into 2023, with FDI totaling USD 580 million according to Armenian authorities reflecting growing international confidence in Armenia’s market.

The tourism sector, in particular, has attracted significant investments, driven by the strong focus on economic modernization and infrastructure development. In addition, the government's proactive approach to simplifying business procedures and providing legal protections for investors have further strengthened Armenia’s position as a favorable destination for investment.

VALUE PROPOSITION 

This publication outlines Armenia's compelling value proposition for tourism investments. The country’s strategic location, combined with its rich cultural heritage and diverse tourism offerings —from cultural and historical experiences to adventure and eco-tourism—present numerous opportunities for investment. The Armenian government is committed to foster entrepreneurship and enhance infrastructure with initiatives, such as the "Armenia The Hidden Track" that will boost tourism arrival numbers.

COMPETITIVE OUTLOOK 

Finally, the report analyzes Armenia’s competitive place in the wider tourism landscape, highlighting significant growth. International tourist arrivals reached 2.3 million in 2023, representing a 22.3% increase from 2019, and significantly outpacing the regional average in Central and Eastern Europe. Additionally, international tourism receipts in Armenia reached USD 3 billion in 2023, a 97% increase compared to 2019. This increase in international tourist arrivals, higher spending per visitor, and growing occupancy rates in hotels underscore Armenia’s success in attracting and retaining tourists. These trends have had a positive effect in terms of boosting employment and driving economic growth and positioning Armenia as a competitive player in the global market.