YEREVAN, April 7. /ARKA/. Teresa Daban Sanchez, IMF Resident Representative to Armenia, commenting on probability of introduction foreign currency hedging, said the Central Bank of Armenia was working out legislative proposals on financial derivatives.
This program, she said, is being implemented with support from the European Bank for Reconstruction and Development.
Sanchez expressed hope that the proposals will be sent to the National Assembly before the end of this year.
She also added that ways for introduction of foreign currency hedging instrument has repeatedly been discussed in Armenia.
Hedging plays a very important part in protection from foreign exchange rate volatility, she said, and thanks to this very instrument, people in the majority of developed countries see now grounds for fearing of foreign exchange rate volatility.
Sanchez added that Armenia has no legislative basis for such transactions so far and taxation-related problems are not solved.
She also pointed out the necessity of enhancing public awareness. –0—-
