YEREVAN, OCTOBER 31, ARMENPRESS: Fall of prices of industrial metals in international markets, decline of the industrial branch of Armenia and bad weather conditions slowed up the domestic economic growth. This is stated in Central Bank’s Financial Stability Report states, Armenpress reports.

Connected with geopolitical developments, additional obstacles have been created for the economic growth of Russia, which in its turn may reflect on private transfer inflows to Armenia and volumes of the export to Russia, the template reads.

In some Armenia’s main commercial partner EU states and Russia economic developments were more unfavorable than expected, though they had a weak influence on the domestic industry.

The Central Bank or Armenia publishes the results of ongoing analyses in the Financial Stability Report. Financial stability report is published on an annual basis starting from 2007 and on a semiannual basis, starting from 2010. Main goal of the Financial Stability Report is to focus on current developments in real and financial sectors that could undermine the financial stability, Armenpress reports. 

The report presents the Central Bank’s assessment of financial stability, main risks threatening the financial stability and measures underway to prevent and reduce these risks. The publication of Financial Stability Report allows improving awareness of financial institutions, companies, entrepreneurs and general public concerning measures taken by authorities to ensure financial system stability. On the other hand, the purpose of providing information on risk origins and vulnerability of financial stability is to help people for taking decisions in various situations. 

The risks affecting financial stability of Armenia can emerge in local economy, foreign economy and it financial system itself. Taking into account the aforementioned, the possible risks affecting financial stability of Armenia are presented in 5 areas: Risks derived from the developments of world economy (macro economy and financial markets), risks derived from the developments of Armenian macroeconomic environment, risks derived from the developments of Armenian macroeconomic environment, risks derived from the developments of financial institutions of Armenia, risks derived from the developments of financial infrastructures.

 The Central Bank of Armenia continuously carries out extensive work in order to make financial stability report more informative and extended in accordance with international practice and in face of new challenges.