Armenia Gini Index

Armenia’s Gini index has undergone a significant decline since the post-Soviet economic transition, falling from an all-time peak of 44.40 in 1996 to a low of 25.10 in 2020, reflecting improved income distribution over the past three decades. By 2025, the index stood at 26.50, placing Armenia 67th globally and indicating one of the more equitable income distributions among lower-middle-income countries. This level is comparable to Belgium’s 26.44 and slightly below Moldova’s 26.88, suggesting convergence with some European peers despite differing economic structures. The sustained reduction in inequality since the late 1990s likely reflects structural reforms, remittance inflows, and growth in labor-intensive sectors, although periodic volatility remains tied to regional instability and external shocks. Having reached near-record low levels, the index shows signs of stabilizing just above its 2020 trough. Future trends will depend on Armenia’s ability to maintain inclusive growth, expand formal employment, and mitigate regional disparities, particularly amid ongoing demographic and geopolitical challenges.