ARMENIAN POPULATION IS CRUMBING GROCERY SHELVES- PRICES INCREASED BY 40-60% WITHIN A DAY

Regnum
March 4 2009
Russia

Shock in Armenia, occurred due to reversal of currency policy
by Armenian Central Bank, which provoked sharp growth of dollar
exchange rate, lead to jump in prices on petroleum and essential
commodities. The population throw themselves to buy up provisions.

As reports a REGNUM correspondent, there is no sugar in many shops,
flour is nearly exhausted. According to the sellers, the price of
sugar increased more than by 50%. The price of vegetable oil also
increased approximately by 45%. The same is with petroleum.

There was also information, that Armenian customs terminals ceased
their activities. However, this information had been denied by the
press office of State Income Committee of Armenia. According to
them, the number of economic agents are rejecting to go through the
procedure of custom clearance of cargoes, because have difficulties
to forecast the exchange rate. At the same time, they in Committee
have not specified, according to what exchange rate they are going
to perform custom clearing for the commodities imported to Armenia
before March, 3, 2009.

It is worth mentioning, on March, 3, the Central Bank of Armenia
came to decision to turn to floating exchange rate of dram (Armenian
national currency). Therefore, dram will be devaluated by 18-24%.

From: Emil Lazarian | Ararat NewsPress