No plans to leave EAEU despite Armenia’s EU aspirations: Economy Minister

By Arshaluys Mghdesyan

Armenia's Economy Minister Gevorg Papoyan announced today that the government has no plans to withdraw from the Eurasian Economic Union (EAEU), even as the country pursues closer ties with the European Union.

"Our main goal is to strengthen economic stability, regardless of our membership in any organization," Papoyan stated at a press conference. "We need to grow our industry and focus on producing more complex products and delivering quality services."

The statement comes after the Armenian government approved a draft law last week, initiating the process of EU membership consideration, which was subsequently sent to parliament. The move has garnered significant domestic and international attention, with Russia warning Armenia about the economic consequences of potentially leaving the EAEU.

While supporting the initiative, Prime Minister Nikol Pashinyan emphasized that the draft law does not mean Armenia is applying for EU membership. "The final decision can only be made through a referendum; there is no other option," he stated, reiterating his position that Armenia is willing to move closer to the EU to the extent that the EU deems possible.

Read more: Armenia’s EU Law: A Political Symbol or a Practical Path?

EU Ambassador to Armenia Vasilis Maragos responded cautiously to the bill, stating, "while it's up to the country to decide if it wants to join the EU, there are clear treaty provisions that define the membership process."

In the first 11 months of 2024, Armenia's trade with the EAEU grew by 68.3%, reaching $11.9 billion and accounting for over 42% of the country's total foreign trade. In contrast, trade with the EU decreased by 14.1% to $2.1 billion, representing 7.5% of total trade volume.

Russian Deputy Prime Minister Alexey Overchuk compared Armenia's potential EU membership to "buying a ticket for the Titanic," claiming it would increase energy and food prices and cause a 70-80% reduction in exports.

Finance Minister Vahe Hovhannisyan has indicated that his ministry analyzes various scenarios and assesses all potential risks. "Life isn't black and white, and numerous factors must be considered when making any decision," he noted.

The draft law, which resulted from a public petition organized by several political and civil society groups last year, does not establish a formal procedure for EU accession but initiates preliminary discussions about the possibility.