ARMENIA’S C.BANK HOLDS KEY REFINANCING RATE AT 10.5 PCT
Reuters
March 24 2015
Tue Mar 24, 2015 8:16pm IST
YEREVAN, March 23 (Reuters) – Armenia’s central bank on Tuesday left
its refinancing rate unchanged at 10.5 percent, saying the current
level of its main lending rate reflected elevated investment risks.
The bank added in a statement that the rate decision reflected
long-term interest rate trends in emerging markets.
Armenia in February raised its refinancing rate by 1 percentage point,
in part to try to protect itself from Russia’s financial crisis,
which has driven Armenia’s dram currency lower.
Armenia, a former Soviet republic of 3.2 million people, is closely
tied to Russia through trade and remittances.
Annual inflation in Armenia was at 5.4 percent in February, up from
4.3 percent in January, according to central bank data.
The government forecasts annual inflation in a range of 2.5-5.5
percent in 2015, the same as last year’s target. (Reporting by
Hasmik Lazarian; Writing by Margarita Antidze and Alexander Winning;
Editing by Jason Bush)