Armenia’s insurance market is undervalued but has significant growth potential: Deputy Governor of the Central Bank

YEREVAN, June 4. /ARKA/. Armenia’s economy maintains high growth rates and macroeconomic stability, creating a favorable environment for insurance development, said Deputy Governor of the Central Bank of Armenia Armen Nurbekyan.

Speaking at the opening of the InsureTek Armenia 2026 international forum on Thursday, Nurbekyan noted that despite high volatility in the global economy and numerous external shocks, Armenia has managed to ensure sustainable development.

“Over the past five years, Armenia’s average annual real economic growth has exceeded 7%. GDP per capita has almost doubled in seven years—from approximately $4,000 to approximately $9,000. Inflation during this period was around 3-4%, which is in line with the Central Bank’s target,” Nurbekyan said.

He noted that the combination of high economic growth and price stability creates a predictable macroeconomic environment for international and local investors.

Underestimated Potential

Speaking about the insurance market, Nurbekyan acknowledged that the penetration rate of insurance services in Armenia remains relatively low.

“Looking at the insurance sector, the results are still quite modest. The level of insurance penetration in Armenia is low. However, the good news is that as the population’s well-being grows, demand for insurance products is beginning to increase,” he noted.

According to the Deputy Chairman of the Central Bank, the development of the insurance sector is a strategic priority. This will be facilitated, in particular, by the country’s high technological potential.

Key Areas

Nurbekyan identified several key areas for the development of the insurance market in Armenia. These include compulsory motor insurance, fraud and cyber risk insurance, and agricultural insurance.

“Agricultural insurance is a complex area, but we consider it extremely important. It is a strategic priority for both the Armenian government and the Central Bank,” he emphasized. Nurbekyan also noted the significant potential for the development of life insurance, which has not yet become widespread in the country.

About the Forum

The InsureTek Armenia 2026 International Forum is taking place in Yerevan on June 4. Participants include representatives of the Armenian and international insurance industry, technology companies, investors, and experts.

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