Armenia is preparing for a large-scale U.S.-led investment inflow that could exceed $13 billion and help ease its long-standing dependence on Russia, Bloomberg reported.
The sum approaches nearly half of the country’s annual gross domestic product. The outlet noted that U.S. Vice President J.D. Vance, during a visit to Armenia this week, signed a civil nuclear cooperation agreement worth up to $9 billion, signaling potential deepening ties between Washington and the former Soviet republic. In addition, a separate $4 billion expansion of an artificial intelligence project could further improve prospects for Armenia’s $27 billion economy, factor.am wrote.
“The figures themselves are quite significant. If these initiatives gain credibility and ensure a sense of long-term stability, that could increase Armenia’s attractiveness for portfolio flows, direct investment and even remittances,” said Dmitry Dolgin, chief economist for the CIS at ING Bank.
The developments followed last August’s meeting at the White House, when U.S. President Donald Trump hosted Armenian Prime Minister Nikol Pashinyan and Azerbaijani President Ilham Aliyev to advance a preliminary peace agreement that also included TRIPP. Turkey, which has a defense pact with Azerbaijan, is also taking steps to open its border with Armenia, closed since 1993, and to establish diplomatic relations for the first time since the collapse of the Soviet Union. The European Union has strengthened ties with Armenia as well, and Yerevan has announced plans to seek EU membership.
According to Bloomberg, yields on Armenia’s dollar bonds due in 2031 fell by four basis points, reaching their lowest level in about three months.
The civil nuclear cooperation agreement created a legal framework enabling U.S. companies to export nuclear technology to Armenia and participate in replacing the Soviet-era Metsamor nuclear power plant.
The artificial intelligence project, developed in cooperation between U.S.-based Firebird Inc. and Nvidia Corporation, aims to deploy about 50,000 graphics processors by the end of 2026, using the chipmaker’s next-generation GB300 systems. Founded by Armenian entrepreneurs, Firebird plans to allocate most of its computing resources to global clients, positioning Armenia as a competitive hub for exporting AI solutions.
Bloomberg noted that the investment announcements could provide additional momentum for Pashinyan ahead of parliamentary elections scheduled for June 7. In May, Yerevan is also set to host the European Political Community summit, expected to bring together dozens of political leaders.
Overall, the potential $13 billion in projects significantly exceeds previous foreign investments in Armenia. They pave the way for the government’s ambitious goal of attracting U.S. capital and technology into key sectors, even if the investments are not fully realized.
“When companies decide to invest billions of dollars in Armenia, that creates ideas for others as well. Many knew Armenia but did not think in terms of investments of this scale. This changes that,” said Firebird co-founder Alexander Yesayan.
Following a meeting with Prime Minister Nikol Pashinyan, U.S. Vice President J.D. Vance stated that Armenia and the United States had concluded negotiations on a so-called 1-2-3 civil nuclear agreement, opening broad opportunities for major projects. He noted that this implies up to $5 billion in initial exports from the U.S., plus $4 billion in support through fuel and services.
