Armenian Central Bank keeps refinancing rate unchanged

The council of the Armenian Central Bank decided on January 11 to keep
the refinancing unchanged at 7.25%, News.am reports.

The decision was motivated by the rise of prices at 1.8% in December
2010 compared with the previous month. The annual rise of prices
reached 9.4%. The refinancing rate is one of the main instruments of
price regulation.

The prices for agriculture products continue to increase. The annual
price for agriculture products reached 7.5%. The prices for fruits,
vegetables, eggs, meat and dairy products increased by 5.0%, imported
food products - 2.0%.

International markets have a negative effect on prices.

Taking into account the situation at the agriculture sphere, the
Central Bank may harden credit-monetary conditions.