Armenian PM: Inflation in 2010 will be around 7%

During a government meeting , the Armenian government discussed the macro-economic indicators of the first quarter of 2010.

Armenian Prime Minister Tigran Sargsyan said that the study of those indicators makes it clear that the government’s 2009 bail-out programs are bearing fruit.

According to Sargsyan, the recorded indicators exceed the government’s expectations by two-and-a-half times, which, in his words, is accounted for by the expanding monetary and fiscal policy pursued by the Central Bank and the Ministry of Finance.

Sargsyan also mentioned that Armenia has entered a phase of high inflation, conditioned by the same expanding monetary and fiscal policy, since, on the one hand, economic growth is encouraged, while, on the other hand, inflation is encouraged.

The task before the government and the Central Bank of Armenia is to curb the inflation.

According to Sargsyan, the inflation in March, compared to December 2009, was 2.9%, while the average rate of inflation for the whole year was 8.8%.

Sargsyan also said forecasts have shown that inflation in 2010 will be around 7%.


/Tert.am/