YEREVAN, December 23. / ARKA /. An economist Ashot Tavadyan attributed today the strengthening of Armenia’s national currency, the dram, to the stabilization of the Russian national currency, the ruble.
In an interview with ARKA news agency, Mr. Tavadyan, who is head of a chair at Armenian State Economic University, said the strengthening dram owes it partly also to the stabilizing oil price and the decision of Russian exporters to sell part of their revenues in hard currencies at the market.
Tavadyan said the Central Bank should act more swiftly when tension arises in the local financial market because this time it was somewhat late.
According to him, the dram is stabilizing and the need for it will increase because of New Year shopping.
He said the dram is likely to depreciate to 500 drams per one USD, unless there is a dramatic change in the oil market, which now also seems little likely because if that happens all oil producing countries will incur losses, ‘which is nonsense.’
The Armenian dram began losing its value on November 24. On December 17 its official exchange rate fell to record low over the last 10 years to 527.20 drams per one USD. But after the Central Bank and the government took action to stabilize the tension the national currency strengthened against USD to 456.17 drams.-0-
