T. DAVTIAN SAYS DURING THE SECOND HALF OF THIS YEAR SIGNIFICANT INCREASE OF LOAN VOLUMES AND DECREASE OF INTEREST RATES WILL BE NOTABLE IN THE REPUBLIC

ARMENPRESS
July 10, 2009

YEREVAN, JULY 10, ARMENPRESS: No sequester – reduction of expenditures
will be conducted in the Armenian state budget. Moreover the Armenian
Government has proclaimed a policy of utmost non reduction of the
expenditures which is of success.

During today’s press conference the Armenian Finance Minister Tigran
Davtian said that now the Central Bank conducts a more expansion
policy which is right, thereby praiseworthy. Armenian Central Bank
has again decreased the re-funding interest rate.

T. Davtian expressed hope that it will carry a continuative
character. According to him this step is a serious impetus for making
the credit resources cheaper and will give an opportunity to overcome
the passive condition arouse in the credit market.

The Finance Minister is sure that already during the second semester
of this year a significant increase of the credit volumes and decrease
of interest rates will be notable in the republic. "Thus the economy
will start to breathe more freely," the Minister said.

T. Davtian reminded that Armenia takes part in the designing of EurAsEc
stabilization fund. The overall budget of this fund reaches 9 billion
USD which may be allocated as a stabilization credits in case of the
projects corresponding to the demands set by the fund.

Now Armenia tries to present such projects which will mainly be
directed towards the development of infrastructures.