{"id":251805,"date":"2024-10-29T12:55:30","date_gmt":"2024-10-29T12:55:30","guid":{"rendered":"https:\/\/armbanks.am\/2024\/10\/29\/251805\/"},"modified":"2024-10-29T12:55:30","modified_gmt":"2024-10-29T12:55:30","slug":"head-of-armenian-central-bank-explains-why-credit-rates-do-not-react-to-lowering-of-refinancing-rate","status":"publish","type":"post","link":"https:\/\/armbanks.am\/en\/2024\/10\/29\/251805\/","title":{"rendered":"Head of Armenian Central Bank explains why credit rates do not react to lowering of refinancing rate"},"content":{"rendered":"\n<p><strong>YEREVAN, 29 October. \/ARKA\/.<\/strong> Having cut the refinancing rate to 7.25 per cent Armenia\u2019s Central Bank has kept loan rates from rising significantly, the regulator&#8217;s head Martin Galstyan said today.<\/p>\n\n\n\n<p>He said the lowering of the refinancing rate has triggered a huge demand for credit products in the country prompted in turn by high economic growth recorded over the past three years and external demand.<\/p>\n\n\n\n<p>\u2018Now interest rates do not show a downward trend,\u2019 he explained at a press conference.<\/p>\n\n\n\n<p>At the same time, Galstyan suggested that such a trend will appear in the future, as the Central Bank&#8217;s actions are characterised by a long lag.<\/p>\n\n\n\n<p>Noting in this regard that the government bond market is very interesting, the head of the regulator explained that as a result of the Central Bank&#8217;s policy, the yield on 10-year government bonds dropped &nbsp;from 12% at the end of 2022 to 9.5% as of 28 October this year.<\/p>\n\n\n\n<p>\u2018Today, the risk free rate in our country is about 9.5 per cent,\u2019 he said.<\/p>\n\n\n\n<p>On 29 October, the Central Bank lowered the refinancing rate by 0.25 p.p., to 7.25%. This is the 12th consecutive reduction of the refinancing rate since June last year, when the rate was at 10.5%, and the seventh since the beginning of this year (8.75% in January). -0-<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Having cut the refinancing rate to 7.25 per cent Armenia\u2019s Central Bank has kept loan rates from rising significantly, the regulator&#8217;s head Martin Galstyan said today.<\/p>\n","protected":false},"author":1,"featured_media":156969,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":"","tstyn_error":""},"categories":[9214,9216],"tags":[],"class_list":{"0":"post-251805","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-banks-en-en","8":"category-news"},"acf":[],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/posts\/251805","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=251805"}],"version-history":[{"count":0,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/posts\/251805\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/media\/156969"}],"wp:attachment":[{"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/media?parent=251805"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/categories?post=251805"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/tags?post=251805"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}