Armenian regulator hobbling economic growth by tightening its monetary policy

YEREVAN, November 12. /ARKA/. The restrictive policy of the Central Bank of Armenia should be seriously discussed by experts and developers of economic programs, Manuk Yerghnyan, the head of the Economy and Values Armenian Research Center said in an exclusive interview with ARKA News Agency.

“The central bank pursues a policy of restriction and high prices, and this may create big risks soon for economic growth and companies,” he said. “But it is clear that a high-risk environment is formed and the regulator is cautious in taking steps.”

Yerghnyan finds it difficult to say whether the central bank’s policy is correct and effective in the current circumstances or not.

According to the central bank’s report, a 0.5% deflation was recorded in Armenia in October 2015 against a1% inflation in October 2014. As a result, the 12-month inflation subsided to 1.9% in late October.
If inflation outlooks proved to be correct and no outside risks emerged, then the central bank would continue relieving its monetary policy.
In the 2015

In the 2015 government budget, GDP growth is projected at 4.1% and inflation at 4% (±1.5%). —0-

spot_img

POPULAR

Armbanks Weekly Digest: Key Events in the Armenian Financial Market (August 17–23)

Key developments in Armenia's financial market this week included new banking compliance requirements, measures against account fraud, and decisions related to capital market development.

Armenian dram strengthened against the dollar and the ruble, but weakened against the euro: Central Bank

The average market exchange rate for the US dollar to the Armenian dram, formed on the Armenian foreign exchange market as of August 28, 2026, fell by 0.15 points to 364.32 drams compared to August 27.

A unique greenhouse complex opened in Armenia

A unique greenhouse complex for tomato cultivation, equipped with artificial intelligence, robotics, and the latest technologies, has officially opened in the village of Nor Yedesia in the Aragatsotn region, according to the press service of Acba Bank.

Record growth of Armenia’s reserves to $6.9 billion in June provided a buffer amid heightened geopolitical risks – S&P

Armenia's international reserves increased by approximately 40% year-on-year to a record $6.9 billion in June 2026, helping to strengthen the country's external reserves despite heightened geopolitical risks, according to a report by international rating agency S&P Global Ratings.

Central Bank of Armenia has identified the reasons for the acceleration of inflation to 5.1% in June

External price pressure, rising local food prices, and a slight expansion of domestic demand contributed to the acceleration of annual inflation in Armenia from 3.9% in June 2025 to 5.1% in June 2026.

LATEST NEWS

spot_imgspot_imgspot_img