Central bank of Armenia keeps refinancing rate unchanged at 7.75% p.a

YEREVAN, March 11. /ARKA/. The Central Bank of Armenia (CBA) made a
decision to keep the refinancing rate unchanged ` at 7.75% p.a., the
CBA Press Servcie reported.

According to the CBA Board, assessments of inflationary pressures due
to weakening of the national currency made at the CBA Board meeting of
March 23 were realistic.

On March 3, the CBA Board raised the refinancing rate by 1.0pct to
7.75% p.a. According to the CBA, this increase allows for reasonable
combination of reducing of deviations from target inflation level and
supporting of the economic growth.

The CBA Board has not ruled out adjustment of interest rates if the
current internal and external economic developments are maintained.
1% inflation was recorded in Armenia in February this year against
February 2008.

Under the state budget, inflation is planned to be at 4% (±1.5%) in
Armenia by the end of 2009. `0–