Armenia’s economic freedom score is 71.9, making its economy the 32nd (up from 34th last year) freest in the world, according to the 2021 Index of Economic Freedom published by the Heritage Foundation.

Armenia’s overall score has increased by 1.3 points, primarily because of an improvement in fiscal health. Armenia is ranked 18th among 45 countries in the Europe region, and its overall score is above the regional and world averages.

Other countries in the region are placed as follows: Georgia 12th, Turkey – 76th, Azerbaijan 38th, Iran – 168th.

Armenia’s partners in the Eurasian Economic Union Russia and Kazakhstan are ranked 92nd and 34th respectively, Belarus is 95th, Kyrgyzstan is 78th.

Singapore tops the list, followed by New Zealand and Australia.

Economic freedom in Armenia has hovered between moderately free and mostly free for many years. GDP growth during the reporting period has continued to be strong. To institutionalize higher levels of economic freedom more firmly, the government needs to maintain its focus on improving judicial effectiveness and government integrity. Stronger rule of law would also have a positive impact on investment freedom.

IMPACT OF COVID-19: As of December 1, 2020, 2,193 deaths had been attributed to the pandemic in Armenia, and the economy was forecast to contract by 4.5 percent for the year.