Cost of living in Armenia, prices and what it is like to live for an Expat, quality of life / hardship, and compare cost of living for Expatriates as at April 2023.

What is it like to live in Armenia?

Climate: The climate is mostly highland continental with hot summers and cold winters.

Language: The official language is Armenian. Russian is widely spoken and younger people often speak English and French.

Religion: Christianity.

Economy: The Armenian economy heavily relies on investment and support from Armenians abroad. Before independence, Armenia's economy was largely industry-based – chemicals, electronics, machinery, processed food, synthetic rubber, and textiles and was highly dependent on outside resources. The republic had developed a modern industrial sector, supplying machine tools, textiles, and other manufactured goods to sister republics in exchange for raw materials and energy. Agriculture accounted for less than 20% of both net material product and total employment before the dissolution of the Soviet Union in 1991. After independence, the importance of agriculture in the economy increased markedly, its share at the end of the 1990s rising to more than 30% of GDP and more than 40% of total employment.

Inflation: 3.2% for Armenia as at April 2023.

Money: The currency of Armenia is the Armenian Dram (AMD). Credit cards are generally accepted at most major stores and restaurants in Yerevan but may not be accepted elsewhere. There are many ATMs in Yerevan.

Tax: In Armenia is based on the current personal income tax rate which is a flat rate of 21%.

Population: 2.9 Million (2022 est.)

Expat Life: In Armenia people are generally conservative and proud of their ancient history and hospitality. Business is generally formal, but may involve many after-work dinners often involving toasts of shots of vodka or cognac. Good networking is considered essential for successful business in Armenia, which is usually conducted in Armenian, though many people also speak Russian. Expatriate women are advised to follow common-sense safety precautions. The safety risk for expatriates in Armenia is low overall, but medium near the border with Azerbaijan. Risks include general crime, territorial conflict with Azerbaijan which flares up from time to time near the borders, hazardous driving conditions due to poor road maintenance and severe winter weather.

Health Care: Health care facilities are generally poor, particularly outside Yerevan. In general health care treatment is not recommended for anything other than minor or straightforward ailments.

Armenia covers all areas within the country other than Yerevan.

Cost Of Living

What is the cost of living in Armenia?

The cost of living for expatriates in Armenia as at April 2023 is low in comparison to other places in the world, with an overall Cost of Living Index (COLI), for all 13 basket groups, of 51.01 (New York =100). We have collected prices for the same items, world wide, based on Expat spending norms, in or closest to the location, and converted them to $USD so that we can compare the cost of 13 different baskets in 780 global locations. For each basket, compared to New York, the equivalent cost in Armenia is as follows:

1) Alcohol and/or Tobacco: Cost is average for items such as beer, spirits, wine and tobacco related products such as cigarettes. A basket costing USD$1,000 in New York costs USD$680. Average price in a store for a midrange bottle of wine is USD$7.85, domestic/local beer (500ml) USD$1.11, imported/international beer (330ml) USD$1.60 and a pack of 20 cigarettes is USD$1.56.

2) Clothing: Cost is high for items such as business, casual and children's clothing and footwear. A basket costing USD$1,000 in New York costs USD$940. Average price for an international brand of mens jeans is USD$56, a quality international brand of running shoes USD$86, mens leather shoes suitable for office wear USD$77 while a medium size international summer dress from a global chain store is USD$47.

3) Communication: Cost is low for various communication costs such as home telephone rental, internet subscription, mobile service provider tariff and data costs. A basket costing USD$200 in New York costs USD$112. Average price for a monthly standard plan internet subscription is USD$17, while the benchmark mobile tariff is USD$0.04 per minute.

4) Education: Cost is average for items such as creche / pre-school fees, primary school fees, high school fees and tertiary study fees. A basket costing USD$30,000 in New York costs USD$19200. Average annual private international school fee (excluding extras) USD$12,438 for Primary School, and USD$13,841 for High School.

5) Furniture & Appliances: Cost is average for items such as dining table and chairs, home entertainment, kitchen appliances, and sofas. A basket costing USD$2,500 in New York costs USD$1925. Average price for a 6kg front loader Washing Machine is USD$675, and USD$579 for a 46+'' LED UHD TV.

6) Groceries: Cost is low for items such as consumables, cleaning products, dairy, fresh fruit & vegetables, general food products, snacks, soft drinks. A basket costing USD$1,000 in New York costs USD$500. Average grocery prices in a major international retail store for 1 kg apples is USD$1.18, 1 kg oranges USD$1.56, 1 head lettuce USD$0.56, 1 kg potatos USD$0.65, 1 kg boneless, skinless, chicken breast USD$5.69, 1 kg cheddar cheese USD$5.79, 1 dozen large eggs USD$1.90, 500g loaf white bread USD$0.60, 1 L full cream milk USD$1.14, and 1.5 L water USD$0.63.

7) Healthcare: Cost is average for general heath care, doctor visits, hospital stays, non-prescription medicine, and medical insurance. A basket costing USD$1,000 in New York costs USD$640. Average healthcare cost for a private practice Doctor visit for an uninsured patient is USD$52, and a private hospital stay per day including nursing care, medications, diagnostic tests, food, and related costs is USD$1,592.

8) Household Accommodation: Cost is low for items such as apartment rent, house rent, property purchase, mortgage rate, and utilities. A basket costing USD$5,000 in New York costs USD$1500. Average expatriate house / apartment rent for a secure upmarket unfurnished apartment (3 bedrooms) is USD$1,766 in a central location, and USD$1,001 in a suburban location, per month, excluding utilities.

9) Miscellaneous: Cost is low for items such as dry cleaning, linen, magazines, newspapers, office supplies, and postage stamps. A basket costing USD$500 in New York costs USD$240. Average price for dry cleaning (1 mens 2 pc suit) is USD$4.67, while an international newspaper is USD$1.44.

10) Personal Care: Cost is high for items such as cosmetics, hair care, and toiletries. A basket costing USD$500 in New York costs USD$410. Average cost for a mens haircut and blow dry is USD$33, while a womens hair colour, cut and blow dry - medium length is USD$164.

11) Recreation & Culture: Cost is average for items such as books, cinema, sport and theatre tickets. A basket costing USD$500 in New York costs USD$295. Average price for a latest release international cinema ticket (average of on and off peak where applicable) for one adult is USD$6.54, and an international fitness, recreation or sports club membership cost for one adult is USD$62 per month.

12) Restaurants Meals Out and Hotels: Cost is low for items such as hotel daily room rates, meals and beverages in a restaurant, and take away food and beverages. A basket costing USD$1,000 in New York costs USD$340. Average cappuccino price (regular, medium) is USD$2.62, coke/pepsi (330ml) USD$0.83, burger meal (international franchise or similar) USD$6.28, and a mid-range international restaurant meal for 2 USD$31.39.

13) Transport: Cost is low for items such as fuel (petrol/gasoline), car hire, public transport, vehicle purchase and maintenance. A basket costing USD$1,000 in New York costs USD$590. Average average price over the last year for highest available octane petrol / gasoline (1L) is USD$0.87, while the benchmark car sedan purchase price including taxes/duties for a compact / small / economy vehicle (1.4 L) is USD$19,319.

How does the cost of living in Armenia compare?

Armenia is -34.7% cheaper than USA for groceries, -49% cheaper for household costs than UK, and 11.1% more expensive for transport costs than India.

What is the quality of life / hardship in Armenia?

Armenia is ranked as an extreme hardship location.The hardship premium for Armenia for an expat from Australia, is for example 30%, i.e. host location (Armenia) premium of 40% minus home (Australia) location premium of 10%.

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