This research aims to reveal the importance of securities market in ensuring economic growth in Armenia. In order to make the research more substantial, we also examined the impact of other financial market segments, such as insurance market and credit market, on the economic growth. To estimate the relationship between financial market segments and economic growth, an empirical research was conducted using correlation and regression techniques. The research reveals that the most significant impact on the economic growth among Armenian financial market segments has the credit market of Armenia. There is no significant relationship between economic growth and insurance, as well as corporate securities market. It is pointed out in the research, that the evolving importance of the role of securities market in the economic growth is not yet demonstrated in Armenia, which, perhaps, results from the absence of interaction between securities market and economy in Armenia.
Arestis, P., Demetriades, P., and Luintel, K., 2001. Financial Development and Economic Growth: The Role of Stock Markets. Journal of Money, Credit and Banking, 33(1), 16-41. doi: http://dx.doi.org/10.2307/2673870
Bagehot, W., 1873. Lombard Street. A Description of the Money Market. (References from the (1962 edition ed.). Homewood, IL: Richard D. Irwin.
Demirguc-Kunt, A., and Levine, R., 2001. Financial Structures and Economic Growth: A Cross-Country Comparison of Banks, Markets, and Development. Cambridge, MA: MIT Press. doi. doi:http://dx.doi.org/10.1002/ijfe.255
Dewatripont, M., and Maskin, E., 1995. Credit and efficiency in centralized and decentralized economies. The Review of Economic Studies, 62(4), 541-555. doi: http://dx.doi.org/10.2307/2298076
Garretsen, H., Lensink, R., and Sterken, E., 2004. Growth, financial development, societal norms and legal institutions. Journal of International Financial Markets, Institutions and Money, 14(2), 165-183. doi: http://dx.doi.org/10.1016/j.intfin.2003.06.002
Ghysels, E., Idier, J., Manganelli, S., and Vergote, O., 2014. A high frequency assessment of the ECB Securities Markets Programme: European Central Bank. doi:http://dx.doi.org/10.1093/jeea/jvw003