Central Bank: dollarization in Armenia believed to abate this year

YEREVAN, February 14. /ARKA/. The Central Bank of Armenia says in its monetary policy program for the first quarter of this year that dollarization in the country’s money stock is expected to subside 4.2% in 2012.

The regulator says that to tame down dollarization it plans to increase cash on hand by 13.3% and deposits in national currency by 30%, while deposits in foreign currencies will be enlarged by 12.6%.

It means the ratio of the country’s dram base to GDP will rise 10%.

The central bank also says that money and dram stock will grow 17.6% and 21.1% respectively, and monetary base will grow 8%.
According to National Statistical Service of Armenia, the country’s monetary base grew 13.6% or by AMD 80.2 billion in December 2011, compared to the previous month, to AMD 671.3 billion.

Money stock grew 5.2% or by AMD 55.8 billion in December 2011, compared with November, to AMD 1127 billion. ($1 – AMD 388.62).-0—

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