IMF warns against deflationApril 20, 2009 - 13:55 AMT PanARMENIAN.Net - The International Monetary Fund's (IMF's) Managing Director Dominique Strauss-Kahn was quoted on Sunday as saying the risk of deflation was more of a threat to the economy than inflation, at least in the near future. "In the short term, the risk of inflation is zero, today we have rather the problem of deflation," he told Germany's Handelsblatt business daily in an interview to be published on Monday. It was unclear which countries he was referring to. He also said countries around the world were too slow in acting to clean up banks' balance sheets. "Whether we are talking about Germany, other European countries, or the United States, this subject is moving too slowly," he said, Reuters reported. The solution proposed by Finance Minister Peer Steinbrueck is to allow banks to create their own individual "bad banks" to park these assets. Steinbrueck's plan distinguishes between toxic or worthless assets and "illiquid" assets, which banks are finding difficult to sell in today's clogged-up markets but which could eventually rise again in value. Top stories Yerevan has dismissed Turkey’s demand to shut down the Armenian nuclear power plant as “inappropriate”. Armenia will loan 2.9 billion drams to Nagorno Karabakh (Artsakh), according to a draft government decision. The Ministry of Ecology and Natural Resources of Azerbaijan has “strongly condemned” Armenia’s decision. Kerobyan has said that for the first time in the history of Armenia, the volume of foreign direct investments amounted to about $1 billion. Partner news | The Power of One Dram to benefit Road of Life charity The companies inform that the May beneficiary of The Power of One Dram is the “Road of Life” charitable organization. Ucom General Director gives lecture at French University in Armenia The General Director of Ucom Ralph Yirikian delivered a lecture at the French University of Armenia. Kazakhstan welcomes Yerevan, Baku’s agreement to meet in Almaty Kassym-Jomart Tokayev has welcomed the agreement of Baku and Yerevan to hold negotiations in Almaty. Armenia offers to temporarily host, preserve Gaza manuscripts The Armenian Foreign Minister has said Yerevan is ready to help preserve manuscripts from the conflict zone in Gaza. |