{"id":156623,"date":"2024-08-26T13:44:42","date_gmt":"2024-08-26T13:44:42","guid":{"rendered":"https:\/\/armbanks.am\/2024\/08\/26\/251663\/"},"modified":"2024-12-15T13:55:35","modified_gmt":"2024-12-15T13:55:35","slug":"sp-forecasts-1-6-inflation-for-armenia-predicts-continued-easing-of-monetary-policy","status":"publish","type":"post","link":"https:\/\/armbanks.am\/en\/2024\/08\/26\/156623\/","title":{"rendered":"S&#038;P forecasts 1.6% inflation for Armenia, predicts continued easing of monetary policy\ufffc"},"content":{"rendered":"\n<p><strong>YEREVAN, August 26. \/ARKA\/.<\/strong> International credit rating agency S&amp;P Global Ratings has forecasted an average inflation rate of 1.6% for the year, reflecting a broader increase in price pressures.<\/p>\n\n\n\n<p>Given this inflation forecast and the Central Bank of Armenia&#8217;s target of 4%, S&amp;P expects that the institution may continue to gradually lower its key policy rate, the agency stated in its report.<\/p>\n\n\n\n<p>On July 30, the Central Bank of Armenia&#8217;s Board reduced the refinancing rate by 0.25 percentage points to 7.75%. This marks the 10th consecutive reduction in the refinancing rate since June last year and the fifth since the beginning of the current year.<\/p>\n\n\n\n<p>S&amp;P analysts note that after peaking at 10.3% in June 2022, overall inflation has significantly decreased due to falling food and commodity prices, currency appreciation, and tighter monetary policy.<\/p>\n\n\n\n<p>After several months of negative inflation figures, it increased, reaching 0.8% in June compared to the same period last year. This rise is driven by base effects along with higher transportation and service costs, the report said.<\/p>\n\n\n\n<p>The 2024 state budget sets inflation at 4% (\u00b11.5%). According to the Central Bank&#8217;s monetary policy report for the second quarter of this year, inflation in Armenia is expected to be within the range of 0.9-1.3% by the end of 2024, with a forecast of 3.8-3.2% for 2025 and 3.7-4% for 2026.<\/p>\n\n\n\n<p>The World Bank expects inflation in Armenia to be 3% in 2024, 3.5% in 2025, and 4% in 2026. The IMF predicts that prices in Armenia will rise by 3.1% in 2024 and by 3.7% in 2025. According to the Asian Development Bank, inflation in Armenia will be 3% in 2024 and will accelerate to 3.5% in 2025 amid a loosening of monetary policy. The Eurasian Development Bank expects inflation in Armenia to be around 1.5% by the end of this year.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>International credit rating agency S&#038;P Global Ratings has forecasted an average inflation rate of 1.6% for the year, reflecting a broader increase in price pressures.<\/p>\n","protected":false},"author":1,"featured_media":158933,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":"","tstyn_error":""},"categories":[9214,12139,9216],"tags":[1343,15497],"class_list":{"0":"post-156623","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-banks-en-en","8":"category-economy-en","9":"category-news","10":"tag-sp","11":"tag-15497"},"acf":[],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/posts\/156623","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/comments?post=156623"}],"version-history":[{"count":0,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/posts\/156623\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/media\/158933"}],"wp:attachment":[{"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/media?parent=156623"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/categories?post=156623"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/tags?post=156623"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}