TIGRAN SARGSIAN: GOVERNMENT SHOULD BE ABLE TO CURB INFLATION

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YEREVAN, MAY 29, NOYAN TAPAN. "Studies show that the price elasticity
degree is not satisfactory," the prime minister Tigran Sargsian stated
at the May 29 sitting. According to him, after a sharp rise, prices are
declining quite slowly. He said that bread and rice prices have sharply
fallen in international market in the past month. In particular, wheat
prices fell by 42, rice prices by 22%. It is obvious that it has
created some favorable conditions for a downward tendency in Armenia.
The prime minister noted that taking into account the large share of
these foodstuffs in the consumer basket in Armenia, it can be said that
they may have a considerable impact on the decline in the overall level
of prices.

T. Sargsian said that this problem is in the center of the government’s
attention and it will conduct studies and checks at organizations where
the price level is not adequate to international tendencies. In his
words, inflation is the number one problem in Armenia and the
government should be able to curb inflation. For this reason the
respective proposals and instructions were given to the ministers of
economy and finance, the Central Bank of Armenia and the State
Commission on Protection of Economic Competition. The prime minister
expressed satisfation at the work of the indicated commission.