PARTICIPANTS OF RA MONEY-MARKET MUST BE ABLE TO CONTROL CURRENCY RISKS

ARKA News Agency, Armenia
March 28 2006

YEREVAN, March 28. /ARKA/. Participants of the RA money-market must
be able to control currency risks, as the Chairman of the CBA Tigran
Sargsyan stated during the first International Bank Conference on
issues of financing foreign trade, which has opened in Yerevan today
In his words, study of international experience is very important in
this issue, as well as those instruments, which are being used for
regulation of currency fluctuation in the world.

Sargsyan emphasized that despite the policy of inflation targeting
pursued by Armenia instruments of regulation of currency exchange
rate, particularly derivative instrument, are not widely spread in
the country yet.

“However introduction of such instruments is very timely for creation
of more favorable conditions for participants of the market and
neutralization of currency risks”, he emphasized.

Sargsyan emphasized the importance of this conference from the
viewpoint of possibility of Armenian banks to discuss common issues
with their many international partners.

In his turn the Executive Director of Armeconombank Ashot Osipyan
emphasized that, activities of stock exchanges on deals with
sell-purchase of currency contributes to forecast of the exchange
rate and abstinence from speculations in this sphere.

“Commercial banks in their turn do their best to provide their clients
and partner-organizations with their own information about the exchange
rate and consequences of monetary and credit policy”, he emphasized.

The International Bank Conference dedicated to financing of foreign
trade is held in Armenia on March 28-30. Main subjects of the
conference are role of banks and bank instruments in stimulation of
international trade, cooperation of banks and exporters, particularly
financing of trade in Armenia as well as considering issues of
management of credit risks, payment balance of Armenia, estimation
of risk of documentary operations, perspectives of development of
international trade in Armenia.

The main organizers of the conference are the EBRD and
Armeconombank.