The war in Iran has caused a rise in prices in Armenia.

The Armenian Minister of Economy warned of inflationary risks due to the situation in Iran. If military actions end quickly, the consequences are assessed as short-term, but prices for a number of goods in Armenia have already risen.

As reported by "Caucasian Knot," military actions in Iran threaten Armenia with an influx of refugees, the spread of the war to the Caucasus, and make the Zangezur transport corridor project irrelevant, Yerevan analysts noted. A collection of humanitarian aid for arriving Iranians has begun in Yerevan. An ambassador for one of the foundations stated that up to a million people could arrive in Armenia.

At a meeting of the National Assembly Standing Committee on Economic Affairs, Armenian Economy Minister Gevorg Papoyan assessed the impact of the war in Iran on Armenia's economy.

"We are currently assessing the risks. We hope they will be short-term. We also hope that our strategic partners and friendly countries, currently in conflict, will end their conflict. In this case, in our view, the damage will be minimal. Of course, there will still be damage, particularly in the form of higher prices for some goods. Firstly, we see certain inflationary risks. "Secondly, Armenia also receives raw materials for some production, and in this case, we see the possibility of inflation risks," Armenpress quoted him as saying today.

He noted that Armenia has a fairly large trade turnover with Iran—imports and exports. According to the minister, the current situation will definitely not have a positive impact on the Armenian economy in the long term.

"However, judging by the statements of high-ranking politicians, there seems to be hope that the conflict will end in the near future. And we believe that in this case, we should not have overly negative expectations," he noted.

As a reminder, on February 28, Israel and the United States began strikes against Iran. Donald Trump announced the start of a large-scale military operation. In response, Iran began shelling Israel, American military installations, and civilian targets in the Middle East, according to the Caucasian Knot report "Key Points on the Impact of the Military Conflict with Iran on the Caucasus."

The Caucasian Knot has compiled materials on the impact of military operations in Iran on the Caucasus on the thematic page "Iran: War Is Near".

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