Armenia was the first nation to formally adopt the Christianity as a state religion some 1700 years ago. The collapse of the Soviet Union in 1991, which brought so many hopes to some nations, had disastrous economic consequences for Armenia. Once proud with one of the highest living standards in the Soviet block, the local population now lives below the very low level of poverty. The continuous territorial dispute with Azerbaijan over the Nagorno-Karabakh* region keeps many foreign investors and expatriates at a distance. Yet this country offers some undiscovered treasures for anyone who can go there without prejudice or exaggerated expectations.
If you look for Armenia in the international media, you'll most probably learn about its territorial dispute with neighboring Azerbaijan as if the history of this country began in 1988 when this question was officially raised for the first time. In fact Armenia is one of the oldest countries in the world, geographically in Asia but culturally much closer to Europe. Once it was considered to be among the most economically developed republics in the former Soviet Union. Its political orientation to Moscow and the lack of trade with some of its neighbors have contributed to an economic and demographic decline. It's believed that almost two thirds of the population now lives outside the country, mainly in Russia, because of the high unemployment.
The shortage of people in active age has several consequences for the foreign monitor. One of them is the low level of criminal activity because the economic groups that are related to this activity operate now abroad, mainly in Russia and Europe. So don't be fooled when someone from the large Armenian Diaspora tells you that this country is crime free. It could easily become one with high criminal activity if all Armenian Mafiosi are repatriated from Russia and Europe. Right now though it's true that Armenia shows far less criminal activity than many other former Soviet republics. The second consequence of this demographic outflow is the low price and rent levels in the capital city of Yerevan and especially in the province.
Foreigners can buy an apartment or a house and can also lease a land for residential use for up to 99 years. The prices in Yerevan start from $8,000-10,000 for a 1-room apartment and reach easily $50,000 for a 4-room facility**. The same-size apartments outside the capital are much cheaper. Small apartment rents in the capital start from $100 per month. In the province you can rent a small apartment for just $10-20.
Living expenses in Armenia for many goods and services are low compared to the most developed countries. Food for one can be managed for $100 per month in the capital and for less in the province. The other essential expenditures can be easily covered with $100-200 per month. One exception to this rule is the Internet access. If you're accustomed to an unlimited access you'll have to pay more than in the United States or Canada.
Another reason that stops foreigners from settling down in Armenia is the climate. Some areas of the country have harsh winters because of their high altitudes and the country has very hot and dry summers like the Sahara desert. Some areas of the country have to be avoided because of the high levels of industrial and agro-pollution and other ecological hazards. Foreigners have to stay away from other areas, especially near the borders with Azerbaijan and Turkey, which are protected by local armed forces and where there is a danger of land mines.
Western tourists should know that in Armenia there are very few places where the credit cards are accepted so it's recommended to have small notes in US dollars to pay or exchange for most goods and services.