Armenia's Defense Industry Emerges as Economic Growth Driver

Armenia's defense sector is rapidly transitioning from a purely security-focused industry into a significant economic engine, according to Minister of High-Tech Industry Mkhitar Hayrapetyan. Speaking at the Silicon Mountains forum, he highlighted that three Armenian defense companies successfully exported military products to two continents in May, with payments completed and additional contracts worth tens of millions of dollars under negotiation.

The sector has generated approximately 70 billion drams in economic turnover and created a new export-oriented segment of the Armenian economy. The government's first three-year defense procurement program, involving 172 billion drams in direct investment, has concluded successfully. A new long-term framework worth 190 billion drams has already been approved.

Beyond economic impact, Hayrapetyan stressed the industry's role in supporting scientific advancement and research, creating industrial demand for engineers and scientists. He acknowledged the sector remains in early stages of development and called for continued reforms and investor-friendly policies.