YEREVAN, April 28. / ARKA /. The Central Bank of Armenia (CBA) will not allow sharp fluctuations in the currency market, CBA governor Arthur Javadian said today.
“The Central Bank continues to remain true to its policy of floating exchange rate. Of course, the CBA will intervene if the fluctuation trend appears to be too wide in either direction, because this is the main function of the regulator, ” he told reporters on Thursday after a meeting of heads of Armenian banks with president Serzh Sargsyan.
In comments on a recent statement by Serzh Sargsyan that the strong national currency impedes economic development, Javadian said the point in question was a long –term perspective as depreciation over a long period creates a good environment for the economy and, especially for exporters.
During a March 11 meeting with top government officials in charge of economy president Sargsyan said all projections suggest that “we shall get a very slow and steady devaluation of the national currency, but without noticeable ups throughout the year.”
Javadian said today also that a number of factors, including the anticipated growth in agriculture this year would lead to some strengthening of the dram. “But we can intervene in such a case as well,” he said. -0-
