In which fields capital outflow has been recorded?

2016 wasn’t a rather good year regarding investments made in real sector of Armenia’s economy.

The freshest statistics of foreign investments published by RA National Statistical Service refers to January-September 2016 (annual indices for 2016 haven’t been published yet).

Pursuant data issued by the National Statistical Service foreign investments in real sector of Armenia’s economy have reduced by 72% throughout January-September 2016 (by AMD 69.6 billion) and comprised about AMD 30 billion. From which: net inflow of foreign direct investments has reduced by 44.6% (about AMD 35.8 billion) and reached AMD 44.4 billion.

It should be noted that it refers to the so-called net inflow of investments. Net inflows in the reporting period regarding foreign investments are the differences of receipts and payments. And if in case of separate countries or fields this index has a negative value, it means that more capital outflow has been recorded, rather than inflow.

The National Statistical Service introduced the statistics of net inflows of investments per countries and commodities.

In case of 14 countries, having investment relations with Armenia, capital outflow has been recorded. Most of them—to Russia. Thus, in January-September 2016 net inflow of investments in real sector of economy has a negative growth—AMD 72.8 billion (from which: – AMD 55.4 billion regarding direct investments). Outflow volume is large to Lebanon (- AMD 13.9 billion) and Netherlands (-AMD 12.2 billion) as well.

What’s the snapshot like per fields?

In case of 19 out of 39 fields, introduced by the National Statistical Service, net inflow has a negative index.

The most considerable outflow has been recorded in the field of metal ore extraction: index of net inflow is negative – AMD 31.1 (from which: -AMD 17.8 billion regarding direct investments).

In the field of electricity, gas, steam and air conditioning supply negative index of investment flows comprises AMD 12.4 billion, in other branches of mining industry and opencast mine exploitation—AMD 9.7 billion, in the field of base metals production—AMD 7.7 billion.

The biggest positive net inflow of direct investments has been recorded in the field of status management—AMD 35 billion. Mining-related activity (AMD 30.7 billion) and construction of buildings (AMD 8.5 billion) follow it.