FEATURES AND TRENDS OF THE ARMENIAN ECONOMY AT THE CURRENT STAGE

In the first half of 2024, the growth of the world economy slowed down, which was accompanied by the maintenance of tight monetary conditions in leading countries. Although global inflation continues to moderate, the prices of hard-priced goods and services in partner countries still remain relatively high, making monetary authorities yet to consider a significant reduction in the policy rate. At the same time, overheated labor market conditions in partner countries continue to support high demand. Currently, the geopolitical problems created in the Middle East, as well as the tension in international trade relations caused by sanctions, have caused certain risks in terms of further price increases in the international commodity market and possible disruption of value chains. Against the background of the above, slight deflationary pressures from the external sector still persisted on the RA economy, which was accompanied by a slowdown in economic growth. In the second quarter of 2024, high economic activity was maintained in Armenia, which was greatly contributed by the significant growth of construction, trade and industry branches. The latter continues to be influenced by some short-term factors, containing significant uncertainties regarding the sustainability of economic growth, the long-term outlook, as well as future trends in domestic demand and consumption.