Prime Minister Nikol Pashinyan said on Tuesday that the development of AI factories in Armenia is increasing electricity consumption and creating a need to generate additional energy capacity.

Speaking in parliament during a discussion of the government’s 2025 state budget execution report, the Prime Minister highlighted that on August 8, 2025, a memorandum of understanding on cooperation in the fields of artificial intelligence and technology was signed between Armenia and the United States in Washington.

Despite being widely criticized by the Armenian opposition as having no real significance, the document has since produced concrete results, Pashinyan said.

“Only 10 months have passed, and at Yerevan State University we already have an artificial intelligence center and a supercomputer. In the Gagarin settlement, we have an artificial intelligence factory,” Pashinyan said, referring to the Eleveight AI project.

He said that a second artificial intelligence factory — Firebird’s megaproject — is planned to be established in Hrazdan in June–July. He noted that through the investment program of Firebird alone, Armenia has an investment potential of $5 billion.

At the same time, Pashinyan emphasized that these developments are creating new challenges for Armenia, as artificial intelligence factories significantly increase electricity consumption.

“Only a year or a year and a half ago, we could have considered that we had a significant electricity surplus and needed to find ways to consume it. Today, we already need to think about what new generation capacities we should create,” the Prime Minister said.

He said the government is already taking concrete steps in this direction. Pashinyan noted that the European Union has reaffirmed its readiness to provide accelerated support for the development of energy storage facilities in Armenia.

“This means that we are moving with major steps toward greater energy independence and more reliable energy security,” the Prime Minister said.

According to Pashinyan, Armenia has significant potential in the field of solar energy, and opportunities to realize that potential are becoming increasingly tangible.

The Prime Minister added that the government has already adopted a program aimed at encouraging the installation of energy storage facilities in the private and industrial sectors.

Prime Minister Nikol Pashinyan said that guarantees must be created to ensure that political forces involved in vote-buying do not have the opportunity to gain political influence in Armenia.

Speaking in parliament during debates on the government’s 2025 budget execution report, Pashinyan said that Armenia has managed twice — in 2021 and 2026 — under difficult circumstances, to ensure citizens’ free _expression_ of their will.

“We have managed twice, under extremely difficult conditions, to ensure the _expression_ of the will of the citizens of the Republic of Armenia. Let me remind you what kind of environment we held the parliamentary elections in 2021, and as a result of those elections, the citizens of the Republic of Armenia had the opportunity to freely express their will,” the Prime Minister said.

Citizens also had the opportunity to freely express their will during the 2026 parliamentary elections, but new challenges emerged during the electoral process, he said.

The Prime Minister said that responding to these challenges and creating proper mechanisms should become an important part of the upcoming political agenda.

“We must already create guarantees today so that political forces distributing election bribes and operating according to that logic have no chance of having any political influence in the Republic of Armenia,” Pashinyan said.

Referring to the opposition that will be formed in the next parliament, the Prime Minister stated that, in his assessment, it was formed as a result of illegal activities.

“Essentially, the parliamentary opposition being formed in the 9th convocation of the National Assembly is a political entity that has been formed entirely as a result of illegal activities,” Pashinyan said.

According to the Prime Minister, it is the legitimate right of the Republic of Armenia to deprive relevant circles of the opportunity to continue political activities.

“It is the legitimate right of the Republic of Armenia to prevent these processes and these circles from continuing political activities, and for this purpose Armenia must take measures,” the Prime Minister said.

Pashinyan emphasized that this commitment was also assumed and reaffirmed during the pre-election campaign for the 2026 parliamentary elections.

The Prime Minister also noted that citizens have raised the question of why these issues have not yet been resolved. According to Pashinyan, resolving such issues was significantly more difficult in the absence of peace.

Three political forces entered parliament as a result of the June 7 elections: the Civil Contract party, which will receive 64 seats; the Strong Armenia alliance, which will receive 29 seats; and the Armenia alliance, which will receive 12 seats.

Throughout the campaign period, Armenia’s Anti-Corruption Committee repeatedly reported the discovery of cases involving alleged vote-buying by representatives of the Strong Armenia alliance, the Armenia alliance, and the Prosperous Armenia party, also presenting audio recordings as evidence. The Prosperous Armenia party received less than 4% of the vote and failed to enter parliament.

Prime Minister Nikol Pashinyan chaired a consultation to discuss efforts aimed at transforming the real estate registration system.

According to the Prime Minister’s Office, Head of the Cadastre Committee Suren Tovmasyan briefed the Prime Minister that extensive work has been carried out to transform the system of real estate registration, as well as the registration of rights and restrictions.

Reports were also presented on the existing legislative regulations for the protection and guarantee of rights, as well as on the risks associated with the current procedures for transferring ownership rights based on the alienation of registered property.

The meeting also addressed the current procedure for registering unregistered property. The experience of various countries regarding regulatory approaches in this field was also presented.

Tovmasyan emphasized that the goal of the reforms is to simplify administration and strengthen the protection of property rights. In this context, proposals were presented aimed at achieving these objectives.

Prime Minister Pashinyan highlighted the importance of programs aimed at transforming the sector and stressed that the most effective approach to institutional reforms is to launch them through gradual steps.

In this context, the Prime Minister issued relevant instructions.

Prime Minister Nikol Pashinyan spoke by phone on Tuesday with his Dutch counterpart, Rob Jetten.

According to a readout, the Prime Minister of the Netherlands congratulated Pashinyan on the holding of free and democratic elections in Armenia on June 7 and on receiving the vote of confidence from Armenian citizens.

The readout issued by Pashinyan’s office further said that PM Jetten expressed his support for the agenda of democratic reforms and economic diversification in Armenia.

Prime Minister Pashinyan thanked the Dutch Prime Minister for the congratulations and for his willingness to support the political and economic reforms being implemented by the Armenian government.

Italian Prime Minister Giorgia Meloni congratulated Prime Minister Nikol Pashinyan on his party’s victory in Armenia’s parliamentary elections.

“I would like to convey to you the warmest congratulations of the Government of the Republic of Italy, as well as my own personal congratulations, on your re-election as the leader of the Republic of Armenia,” Meloni said in a letter published by Pashinyan’s office. “The vote of the Armenian people has, for the third time, recognized your leadership and acknowledged the courage with which you have faced challenges of exceptional complexity.

Italy is following Armenia’s process of strengthening its relations with Europe and firmly supports the process of normalizing relations with Azerbaijan. The agreement reached in Washington in 2025 is an important achievement, and you can continue to rely on our commitment to supporting further steps aimed at establishing lasting peace, with the understanding that the normalization of relations represents an important opportunity for stability and prosperity not only for Armenia but also for the entire region.

Relations between our countries are strong and continue to develop. We are united by active economic ties, long-standing cultural and archaeological cooperation, as well as tangible prospects for cooperation in areas such as infrastructure and defense. I am confident that your new mandate will provide an opportunity to further strengthen this partnership.”

Secretary-General of the Shanghai Cooperation Organisation Nurlan Yermekbayev has congratulated Prime Minister Nikol Pashinyan on the victory of the Civil Contract party in Armenia’s parliamentary elections. According to a message released by the Prime Minister’s Office, Yermekbayev extended his congratulations to Pashinyan and the ruling party on what he described as a convincing election victory. In his message, the SCO Secretary-General noted Armenia’s progress in modernising public life, maintaining strong economic growth and strengthening its international standing. He also welcomed Armenia’s active engagement as an SCO dialogue partner, saying Yerevan’s approach contributes to the organisation’s broad agenda and creates new opportunities for mutually beneficial cooperation. Yermekbayev wished Prime Minister Pashinyan success in his state duties and conveyed his wishes for peace and continued prosperity to the people of Armenia.

EU High Representative for Foreign Affairs and Security Policy / Vice President of the European Commission Kaja Kallas has said that foreign ministers of EU member states discussed how to further strengthen Armenia’s resilience and economic diversification.

“Last week’s elections delivered a clear message: the Armenian people voted for peace, sovereignty, and closer ties with Europe. Russia’s heavy pressure and economic coercion failed to sway the vote. Ministers discussed how we can further strengthen Armenia’s resilience and economic diversification,” the EU top diplomat said in a statement on social media, detailing the agenda of the Foreign Affairs Council (FAC) meeting in Luxembourg.

The EU ministers had an informal exchange over breakfast with Armenian Foreign Minister Ararat Mirzoyan ahead of the FAC meeting.

Ahead of the parliamentary elections held on June 7, Russia imposed restrictions and bans on the import of numerous Armenian goods, which remain in effect today. The move prompted exporters to look for new markets, including in the EU. The EU has since announced support measures. European Commission President Ursula von der Leyen, following a phone call with Armenian Prime Minister Nikol Pashinyan, announced immediate financial assistance of more than €50 million, along with other support measures to facilitate trade, including measures to expand export opportunities for Armenian goods.

Russia has cited phytosanitary violations as the reason for the ban, which has been widely viewed by the EU as “economic coercion.”

Prime Minister Nikol Pashinyan’s Civil Contract party won a landslide victory and will have 64 seats in parliament, while the opposition Strong Armenia bloc and the Armenia bloc will have 29 and 12 seats, respectively.

Russian President Vladimir Putin has notably not congratulated Armenian Prime Minister Pashinyan on his party’s re-election, despite many world leaders having extended their felicitations. The Kremlin earlier said that Moscow was awaiting the final confirmation of the election results, which were released on June 14.

Restrictions on exports of Armenian-made goods to Russia could have a deflationary impact of up to 0.6% if new markets for these products cannot be found, according to Central Bank Governor Martin Galstyan.

Speaking at a press conference on June 16, Galstyan noted that, for example, a significant share of flowers produced in Armenia had been exported to Russia before the restrictions were introduced.

“The scenarios are numerous. If we are unable to change markets, then, according to our estimates, the deflationary impact could reach up to 0.6%. Our goods will remain in Armenia, supply will increase, and as a result, we expect that we may see some deflationary effects, for example, in vegetables, mineral water, certain alcoholic beverages, as well as some stone fruits. If it is possible to change markets, then this impact will be milder.”

According to Galstyan, maintaining the current situation could lead to a change of up to 2% in Armenia’s GDP.

Ahead of the parliamentary elections held on June 7, Russia imposed restrictions and bans on the import of numerous Armenian goods, which remain in effect today. The move prompted exporters to look for new markets, including in the EU. The EU has since announced support measures. European Commission President Ursula von der Leyen, following a phone call with Armenian Prime Minister Nikol Pashinyan, announced immediate financial assistance of more than €50 million, along with other support measures to facilitate trade, including measures to expand export opportunities for Armenian goods.

Russia has cited phytosanitary violations as the reason for the ban, which has been widely viewed by the EU as “economic coercion.”

Restrictions on the export of Armenian goods pose deflationary risks and could also lead to the depreciation of the national currency, according to Central Bank Governor Martin Galstyan.

Asked at a press conference about the possible risks arising from the current situation, Galstyan said:

“Because of the embargo, we see deflationary risks. If exports decrease significantly and we are unable to offset this through other components of the balance of payments, it could affect the exchange rate of the dram. Yes, the Central Bank is considering the possibility that the implementation of the embargo and other economic sanctions could create certain short-term challenges for the economy.”

Galstyan also said that, under the current circumstances, the Central Bank is considering the possibility of supporting farmers with loan obligations through appropriate assistance measures.

“There is no agreement with the banks yet. At this stage, discussions must first take place with our government partners, followed by discussions with the banks. We have already gone through this several times — during the pandemic and the war. The support programs will not be new in nature,” the Central Bank governor emphasized.

Martin Galstyan added:

“If the price of gas suddenly increases, it will naturally lead to inflation and have secondary effects.”

Ahead of the parliamentary elections held on June 7, Russia imposed restrictions and bans on the import of numerous Armenian goods, which remain in effect today. The move prompted exporters to look for new markets, including in the EU. The EU has since announced support measures. European Commission President Ursula von der Leyen, following a phone call with Armenian Prime Minister Nikol Pashinyan, announced immediate financial assistance of more than €50 million, along with other support measures to facilitate trade, including measures to expand export opportunities for Armenian goods.

Russia has cited phytosanitary violations as the reason for the ban, which has been widely viewed by the EU as “economic coercion.”

The Central Bank of Armenia informs “Armenpress” that today, 16 June, USD exchange rate up by 0.15 drams to 368.21 drams. EUR exchange rate up by 0.1 drams to 427.49 drams. Russian Ruble exchange rate down by 0.0014 drams to 5.0795 drams. GBP exchange rate up by 0.24 drams to 494.4 drams.

The Central Bank has set the following prices for precious metals.

Gold price up by 2024 drams to 51558 drams. Silver price up by 43.65 drams to 836.84 drams.