CBA REDUCED REFINANCING RATE TO 5.25%

NEWS.am
11:16 / 08/12/2009

Armenian Central Bank Board on Tuesday meeting made a decision to
reduce the refinancing rate for 0.25% and fix it at 5.25%, CBA press
service reports.

In July 2009 compared to June deflation reached 2.7%, at that the
annual inflation made 3.1%. According to CBA, July deflation was mainly
conditioned by fall in prices for agricultural products: "Despite the
price increase for nonfoods and services, inflation rate is stable".

Under the current microclimate, CBA Board considers expedient to
realize enlarged monetary management to assist the upsurge in economic
activity, not endangering the stable prices.