DRAMALIZATION IN ARMENIA CONTINUES IN JAN 2008
ARKA News Agency
Feb 13 2008
Armenia
YEREVAN, February 13. /ARKA/. Dramalization process in Armenia
continued in January 2008, the Central Bank of Armenia (CBA) reports.
The Armenian dram (AMD) supply and dram investments increased by 67.3%
and 75.6% respectively and the money supply and monetary base increased
by 44.3% and 37.7% respectively in the reporting period.
As a result of dram revaluation, foreign currency investments in dram
terms decreased by 8.6% in a year, while foreign currency investments
in dollar terms increased by 8.3% in the same period, according to CBA.
Economy crediting growth rates were high in January, the annual
increase of economy crediting being 77.4% in the reporting period.
The specific weight of dram credits reached the notch of 60.8%
in January.
As regards financial market development, in conditions of liquidity in
January and seasonal slump in money demand, CBA avoided considerable
reduction of interest in the interbank market. REPO interest reduced
by 0.2pct-0.3pct and did not exceed the CBA refinancing limit.
According to CBA, the current interest rates in the interbank market
help toughen the money-and-credit policy adopted in the second half
of 2007 to stem inflation and maintain it within the planned level.
CBA increased the refinancing rate by 0.25pct to 6% annually. The
interest rate of deposits and collateral loans was 3% and 9%
respectively.