ARMENIAN CENTRAL BANK POSTS 2008 INFLATION FORECAST

RosBusinessConsulting Database
December 18, 2007 Tuesday 11:34 AM EST

Armenia’s inflation is expected to reach 5.4 percent by the end of
2008, while a rate of 6.6 percent is projected in the first half of
2008, the Central Bank of Armenia reported. However, the figure could
exceed the target if international oil and food prices turn out to be
higher than expected. Higher interest rates could affect inflation in
the same way. Armenia’s inflation rate could also correct downwards
if exports in a foreign currency increase, or if the national currency
strengthens, the ARKA news agency reported.