Armenia Prepares New Investment Law: Equal Rights for Foreign and Local Investors

The Government of Armenia has approved the draft of the fundamental Law "On Investments," intended to fully replace the outdated Law "On Foreign Investments." The primary innovation of the document is the elimination of investor classification by nationality: local and foreign entrepreneurs will now operate under a single set of rules.

What will change for businesses?

1. Non-discrimination Principle: The national treatment and most-favored-nation treatment are now legally established. Foreign investors will enjoy the same rights and freedoms as citizens of Armenia.
2. Stability Guarantees: Investors will be protected from legislative changes for up to 5 years – even if a law is repealed or amended, current conditions will remain in effect for existing projects.
3. Capital Freedom: Guaranteed unhindered currency conversion, free movement of assets, and the right to repatriate profits.
4. Protection of Interests: The document consolidates norms on the physical and legal protection of property, access to justice, and the right to hire foreign personnel.

The goal of the reform is to consolidate scattered regulations into a single, transparent document and align Armenia's investment environment with international standards. This aims to increase the country's competitiveness and eliminate bureaucratic barriers to market entry.