{"id":249415,"date":"2020-06-30T16:56:23","date_gmt":"2020-06-30T16:56:23","guid":{"rendered":"https:\/\/armbanks.am\/2020\/06\/30\/249415\/"},"modified":"2020-06-30T16:56:23","modified_gmt":"2020-06-30T16:56:23","slug":"armenian-central-bank-chairman-cutting-refinancing-rate-prompted-increased-demand-for-loans","status":"publish","type":"post","link":"https:\/\/armbanks.am\/en\/2020\/06\/30\/249415\/","title":{"rendered":"Armenian central bank chairman: cutting refinancing rate prompted increased demand for loans"},"content":{"rendered":"\n<p><strong>YEREVAN, June 30. \/ARKA\/. <\/strong>The decision of the Central Bank of Armenia to cut the refinancing rate to 4.5% has prompted an increased demand for loans, Central Bank Chairman Martin Galstyan said at a press conference on Tuesday. <\/p>\n\n\n\n<p>According to him,\nthe Central Bank &nbsp;will continue its stimulating\npolicy, but this does not mean that it will lower the refinancing rate any time\nsoon. He said any decision on revising the refinancing rate is preceded by a\nthorough assessment and analysis of numerous data and factors.<\/p>\n\n\n\n<p>&#8220;This time we\nhave cut it by 0.5% instead of the usual 0.25% to stimulate full-fledged demand.\nThe inflation rate that we achieved through long and consistent work was\ninstrumental in making this decision,&#8221; said Galstyan.<\/p>\n\n\n\n<p>At the same time,\nhe noted that the refinancing rate is not the only, albeit the main tool, which\nallows achieving the main goals. Stable macroeconomic environment and inflation\nare also important, he said.<\/p>\n\n\n\n<p>\u201cBut the Central\nBank, being consistent in its statements made in March, will provide commercial\nbanks with unlimited liquidity: as much as the banking system needs through our\nREPO instrument, the volume of which has increased by 4 times in recent weeks.\nWe have provided banks with liquidity and reduced the price, which had a\npositive effect on overall demand and macroeconomic indicators,&#8221; said\nGalstyan.<\/p>\n\n\n\n<p>He said that\nlowering the refinancing rate is a universal tool, but the Central Bank does\nnot target a specific area of \u200b\u200bthe economy, although financial markets have\nalready responded both in the form of interbank repo transactions and in the government\nbond market.<\/p>\n\n\n\n<p>&#8220;This affects\nthe formation of interest rates in the financial market, as a result of which\nthere is an increased &nbsp;demand for credit\nproducts both in connection with government assistance programs to offset the\nconsequences of the coronavirus shock and lending the banks,&#8221; Galstyan\nsaid.<\/p>\n\n\n\n<p>The refinancing\nrate was cut to 4.5% on June 16. Prior to it, the rate was cut by 0.25% on April\n28, 2020. -0-<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The decision of the Central Bank of Armenia to cut the refinancing rate to 4.5% has prompted an increased demand for loans, Central Bank Chairman Martin Galstyan said at a press conference on Tuesday<\/p>\n","protected":false},"author":1,"featured_media":193383,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":"","tstyn_error":""},"categories":[9214,9216],"tags":[15837,12455,12669,310],"class_list":{"0":"post-249415","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-banks-en-en","8":"category-news","9":"tag-armenia-2","10":"tag-loans","11":"tag-refinancing-rate","12":"tag-310"},"acf":[],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/posts\/249415","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=249415"}],"version-history":[{"count":0,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/posts\/249415\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/media\/193383"}],"wp:attachment":[{"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/media?parent=249415"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/categories?post=249415"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/tags?post=249415"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}