RA CENTRAL BANK TO CONTINUE TOUGHENING MONETARY POLICY

PanARMENIAN.Net
May 11, 2010 – 17:39 AMT 12:39 GMT

During the May 11 sitting, the Central Bank of Armenia decided to
increase the refinancing rate by 0.25%, bringing it to 7.25%, the
CBA press service reported.

1.3% inflation was recorded in April as compared with March, due to
which the 12-month index of inflation reduced by 2 percentage points
as compared with the previous month, totaling 6.8%.

Given the current macroeconomic trends, the Central Bank Council
believes that the toughening of monetary policy should continue at a
slower pace to form and preserve positive real interest rates during
the entire forecasted period.