Tigran Sargsyan: Armenia enters high inflation period

PanARMENIAN.Net - Armenian Prime Minister Tigran Sargsyan said that the RA government is concerned over inflation, however, it is a result of expanded monetary-credit and tax-budgetary policy implemented by the RA government and Central Bank.

“We have entered a high inflation period. 0.8% inflation was recorded in Armenia in March as compared with February, and this is not a bad index,” Mr. Sargsyan told a government session on April 1. He added that the annual inflation index reached 8.8%. According to forecasts for 2010, inflation will make 7%.

With respect to this, the PM voiced confidence that the Armenian government and Central Bank will manage to restrain the inflation pressures and the figure will decrease by the yearend.

According to Mr. Sargsyan, Armenia and the International Monetary Fund have agreed with respect to the inflation suppression that the macroeconomic indexes will have an insignificant impact on inflation in 2010. “Moreover, if we manage to preserve the same level of tax collection as recorded in the first quarter, it will allow suppressing inflation in the country,” he said.