Fintech solutions can become a catalyst for the development of the financial industry in Armenia

One of the panel discussions of the first investment and financial forum “Armenian Capital Markets: Future Outlook” was devoted to the topic of digitalization as a key factor in the development of the financial industry. The event was organized by Freedom Broker Armenia with the Ministry of Economy of the RA and brought together over 500 representatives of the sector.

The speakers, led by moderator, Development Director of Freedom Broker Armenia David Arakelyan discussed the introduction of innovative technologies in the country’s financial markets, their infrastructure, as well as the availability of innovative financial solutions for businesses, digitalization and the development of the fintech industry in Armenia.

First Vice Minister of High-Technological Industry of Armenia Gevorg Mantashyan noted that all Armenian policies today are reflected in the financial market. According to him, digital solutions are very important because they can influence the development of competition in the country.

In order for the financial system of Armenia to become a large international hub that will be trusted and through which investments will be attracted, digitalization of processes is necessary. This was emphasized in his speech by Deputy CEO of CDA, Chief Depository Services Officer
Levon Klekchyan. The three main areas, according to him, are deposits, exchanges and marketplaces. With the launch of digital products in the country, the number of online accounts has already increased significantly, and the number of traders has increased by 26 times.

“Innovative solutions for Armenia are both a necessity and an opportunity. Fintech and mobile applications bring businesses closer to their customers, and this all helps them grow and diversify their services. Financial solutions are a catalyst for development,” - CEO, National Center for Innovation and Entrepreneurship, Member of the Executive Board, Chairman of the Trade and Investment Commission, National Committee of ICC Armenia Hayk Margaryan noted.

As head of finance at FL Consulting Aharon Levonyan noted during his speech, the key to understanding digitalization lies at its core.

At the same time, the Armenian market is no different from international practice, and the introduction of innovations and advanced technologies here also requires a huge amount of time and resources. The most popular change now is modular, when everything starts with facade changes, touch points with the client become digital and paperless, and the transformation occurs gradually.

Founding CEO of FinTech Armenia Stefan Lucas expressed confidence that important fintech clusters will continue to develop in the near future. Technological changes are now happening all over the world, including in Armenia. In many regions, governments are investing in creating fintech ecosystems. This is a trend.

Co-Founder and Partner at Formula VC venture fund, President at BANA Angels business angel network Grigor Hovhannisyan agreed with the statement that the fintech direction in Armenia is just beginning to take shape, although there are major players among Armenian companies. According to the CEO of the investment platform Eqwefy Samson Avetyan, Armenia ranks 134th in the world in terms of investments. The technological side is already ready, but this area needs support.