{"id":40816,"date":"2012-08-29T16:07:01","date_gmt":"2012-08-29T16:07:01","guid":{"rendered":"https:\/\/armbanks.am\/2012\/08\/29\/236282\/"},"modified":"2024-12-15T12:59:17","modified_gmt":"2024-12-15T12:59:17","slug":"armenias-total-debt-reaches-4-2-billion","status":"publish","type":"post","link":"https:\/\/armbanks.am\/en\/2012\/08\/29\/40816\/","title":{"rendered":"Armenia\u2019s total debt reaches $4.2 billion"},"content":{"rendered":"<p><strong>YEREVAN, August 29. \/ARKA\/.<\/strong> At the end of July Armenia\u2019s total public debt stood at $4.252 billion, Armenia\u2019s chief treasurer Atom Janjughazian, told a news conference today. He said the country\u2019s foreign debt stood at $3.708 billion, of which $3.1 billion were owed by the government and $608 million by the Central Bank. The domestic debt in the first quarter of this year amounted to $544 million, he said.<\/p>\n<p>Mr. Janjughazian said the size of foreign debt making around 46% of the GDP, poses no risks to the country&#8217;s economy, as the government has enough revenue to service the debt.<br \/>\nAsked whether the state debt of the country may swell further to half of the GDP Mr. Janjughazian said this option could not be ruled out. He reminded that under the law\u00a0 if the government\u2019s total debt is within 50-60% of the GDP, budget deficit should not exceed 3% of GDP.<br \/>\nAsked also whether Armenia suffered losses\u00a0 from manipulation with Libor rates, blamed on a number of leading western banks, the chief treasurer said only a small portion of Armenia\u2019s foreign debt is tied with Libor rate, specifically, Armenia\u2019s $500 million debt to Russia, which makes only 13.4% of the total foreign debt.<\/p>\n<p>The Russian loan was provided at preferential LIBOR rate plus 3% to support Armenia\u2019s economy during the crisis. Janjughazian\u00a0 said\u00a0 the only risk in terms of debt management is fluctuation of the exchange rate of the national currency, as the government\u2019s\u00a0 funds are kept in AMD.<br \/>\nUK\u2019s Barclays\u2019 Bank chief executive Bob Diamond resigned in July after the bank paid around $452 million in penalties for manipulating the Libor rate, which is determined by averaging the rate several large banks report that they can borrow at each day. Barclays reported that it was able to borrow at artificially low rates in order to not appear to be struggling during the heart of the financial crisis in 2008.\u00a0 Other banks &#8211; Royal Bank of Scotland, Lloyds Banking Group, Citigroup, HSBC, UBS\u00a0 and\u00a0 Deutsche Bank were also implicated in the scandal. Some legal firms have filed lawsuits on behalf of their clients seeking compensations. -0-<\/p>\n","protected":false},"excerpt":{"rendered":"<p>At the end of July Armenia\u2019s total public debt stood at $4.252 billion, Armenia\u2019s chief treasurer<\/p>\n","protected":false},"author":1,"featured_media":148449,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":"","tstyn_error":""},"categories":[12139,9216],"tags":[15837,12275,460],"class_list":{"0":"post-40816","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-economy-en","8":"category-news","9":"tag-armenia-2","10":"tag-debt","11":"tag-460"},"acf":[],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/posts\/40816","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=40816"}],"version-history":[{"count":0,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/posts\/40816\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/media\/148449"}],"wp:attachment":[{"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/media?parent=40816"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/categories?post=40816"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/tags?post=40816"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}