YEREVAN, JUNE 3, ARMENPRESS. Inflation in Armenia comprised 1.9% as of March of 2019: in general, low inflationary environment has been maintained in the country in the first quarter of 2019, President of the Central Bank of Armenia Artur Javadyan said while introducing the annual report of the Bank’s activity in the Parliament.

“In the first quarter of 2019 inflation was at a relatively low level, comprising 1.9% as of March, mainly due to the effect of low demand. Based on this, as well as taking into account the global slowdown trends, the CBA found it appropriate to increase the amount of monetary terms and lowered the refinancing rate by 0.25%, setting it at 5.75%”, Javadyan said.

The CBA kept the policy rate unchanged in March and April, assessing the expansionary rate as satisfactory. Javadyan noted that in any case the CBA gives preference to the gradual restoration of inflation, towards the inflation goal.

The CBA says that in the conditions of the predicted macroeconomic developments it would be necessary to maintain the expansionary monetary conditions for the implementation of inflation goal.

He added that in case of any risks they will analyze the situation and will respectively react to the monetary policy if necessary, guaranteeing the stability of prices in the medium-term.

Edited and translated by Aneta Harutyunyan