YEREVAN, August 16. /ARKA/. During the third quarter of 2023, annual price growth in Armenia will be close to zero and will remain below the Central Bank’s target of 4±1.5% during the rest of the year, according to the latest Macroeconomic Review of the Eurasian Development Bank.
“We forecast inflation of about 2.5% y/y at the end of 2023,” the Review says.
The bank’s analysts note that Armenia was the only country in the region where in June-July 2023 consumer prices decreased compared to last year – by 0.5% and 0.1% yoy, respectively.
“Prices for imported fuel decreased (minus 7.2% y/y). Price growth of other non-food goods and services is also slowing down. The key factors limiting price growth are strengthening of the Armenian dram and weakening of external price pressure,” the Review says.
It is noted that tight monetary conditions also contributed to the drop of inflation. -0-
