CENTRAL BANK OF ARMENIA BUYS SOME $13 MILLION FROM BANKS AND SELLS $42 MILLION IN 2ND Q 2008

ARKA
Sep 18, 2008

YEREVAN, September 18. /ARKA/. Central Bank of Armenia bought some
$13 million from banks and sold $42 million to them at the second
quarter of 2008.

In its report on inflation for the 2nd Q 2008 and Armenia’s monetary
policy, the Central Bank says that these operations’ aim was to
mitigate fluctuation in currency exchange rates.

According to the report, aggregate amount of deals with the U.S. dollar
on banking market (including stock market transactions worth $194.8
million) was $2,157 million. This result was 21.72% higher than that
of the previous year ($1,772 million).

This growth reflects growth of foreign turnover, outside financial
flows and domestic economy.

Growth was also recorded in transactions with euro.

Operations with European currency totaled 166.72 million in the
2nd Q 2008, exceeding the result of the same quarter a year earlier
by 53.36%.

Nominal value of Armenian dram climbed 1.51% against the dollar from
AMD 307.25 = $1in the beginning of the second quarter to AMD302.68
later that quarter.

Armenian national currency strengthened 15.26% against the dollar
from AMD 353.97 to 307.11 for $1.

Armenian dram leapt 23.39% in the second quarter 2008, compared with
the same period of the previous year.