Media: Armenia may see 20% investment growth if border with Türkiye opens

Anushik Avetyan, Deputy Minister of Economy of Armenia, highlighted that opening the Armenia–Türkiye border would bring economic benefits to the entire region and could boost investment flows to Armenia by 20%.

She told reporters at the Margara border crossing that reopening the Armenia–Türkiye border is expected to attract investment and reduce logistical costs for businesses, Caliber.Az reports via Armenian media.

Since the first phase envisages opening the border to citizens of third countries as well as diplomats, she said the first and fastest impact would be an increase in tourist flows.

“The opening of the border with Türkiye could have a quick, practical, and positive impact on the economy,” Avetyan said, noting that the services sector would be particularly positively affected.

“As you know, we are heavily dependent on the Lars checkpoint, and opening the border with Türkiye will help businesses in several ways. First, transport costs will decrease, supply chains will shorten, and market access will expand,” Avetyan said, stressing that opening the border with Türkiye is also important from the perspective of Armenia’s export diversification agenda.

Avetyan noted that expert studies indicate the development will positively affect foreign trade, investment inflows, and the overall investment climate. She added that some assessments anticipate up to a 20 percent increase in investment flows, not only in Armenia but also across the wider region.

According to Avetyan, with the unblocking of transport routes and Armenia’s proximity to the EU–Türkiye Customs Union, the country’s export potential to the EU could grow, especially in industrial goods, marking a significant step after Türkiye closed its land border with Armenia in the early 1990s.

By Jeyhun Aghazada