Wednesday, December 17 2014 18:28

Armenia's CB: AMD's hyper-depreciation has been caused by panic and speculations


ArmINfo. For the moment USD rate is overvalued while AMD rate is undervalued, Chairman of the Central Bank of Armenia Artur Javadyan told journalists on Wednesday.

He said that AMD's hyper-depreciation has been caused by panic and speculations.

"Real value of AMD will become known as soon as the factors that are causing the current hyper-depreciation are eliminated. As soon as the current panic and speculations are stopped, AMD will get much stronger," Javadyan said.

He said that USD rate will drop but refrained from saying when exactly this will happen. "When people stop panicking," he said.

Javadyan urged people not to yield to the temptation to earn money on the current fluctuations as this may cause financial losses.

Javadyan explained that one of the factors that has caused the current panic is the drop in RUR rate. "Georgia is facing a similar situation, simply, in Armenia the panic started earlier," he said.

On Dec 8 Armenia's Central Bank said that it was going to sell $6mln a day on the forex market for a week and then depending on demand, would start reducing the interventions. On Dec 15-17 the CB sold $4mln.

Since Oct 2014 AMD has dropped by 40% against USD to 570 AMD/1 USD at 5:00 PM Dec 17. Most of shops in Armenia have suspended their activities as they are not sure what prices to charge.
POST A COMMENT
Input digits     


News
Government agencies, organizations to return  property provided to  them free-of-charge by the end of 2027Government agencies, organizations to return  property provided to  them free-of-charge by the end of 2027
Only 15% of declarants in Armenia have filled out income  declarations. Deadline for filing- November 1Only 15% of declarants in Armenia have filled out income  declarations. Deadline for filing- November 1
The Regulator extends Gazprom Armenia CJSC license for natural gas  distribution The Regulator extends Gazprom Armenia CJSC license for natural gas  distribution 
Armenia, India discuss potential for direct flights between their  countriesArmenia, India discuss potential for direct flights between their  countries
Presentation of Mark Aren’s “The New Adventures of Sherlock Holmes” BookPresentation of Mark Aren’s “The New Adventures of Sherlock Holmes” Book
RA Ministry of High-Tech Industry hosts WB delegation RA Ministry of High-Tech Industry hosts WB delegation 
Mongolia`s concessions to Armenia to involve 98% of exports Mongolia`s concessions to Armenia to involve 98% of exports 
Energy cooperation with Iran discussed at RA Ministry of Territorial  Administration Energy cooperation with Iran discussed at RA Ministry of Territorial  Administration 
Armenia to allocate $7.5mln to subscribe for shares of the authorized  capital of Asian Infrastructure Investment BankArmenia to allocate $7.5mln to subscribe for shares of the authorized  capital of Asian Infrastructure Investment Bank
EIB to issue EUR 50mln loan to Armenia for socio-economic development  of Syunik EIB to issue EUR 50mln loan to Armenia for socio-economic development  of Syunik 
EIB puts forward initiative to specify some provisions of agreement  on financing of construction of Sisian- Kajaran section under  North-South program EIB puts forward initiative to specify some provisions of agreement  on financing of construction of Sisian- Kajaran section under  North-South program 
Armenia, Iran discuss prospects of cooperation in oil and gas sector Armenia, Iran discuss prospects of cooperation in oil and gas sector
Deputy PM promises to consider  MP`s proposal to reduce sugar  consumption in ArmeniaDeputy PM promises to consider  MP`s proposal to reduce sugar  consumption in Armenia
20 million drams for Artsakh students, 10 million drams for a kindergarten for Artsakh children: IDBank20 million drams for Artsakh students, 10 million drams for a kindergarten for Artsakh children: IDBank
David Ananyan on Crossroads of Peace project David Ananyan on Crossroads of Peace project 
Inspection Authority: Another 11 organizations  get licenses to  export flowers to RussiaInspection Authority: Another 11 organizations  get licenses to  export flowers to Russia
Yerevan to host Discover Armenia festival Yerevan to host Discover Armenia festival 
Landslide blocks traffic on section of Mtskheta-Stepantsminda-Lars  roadLandslide blocks traffic on section of Mtskheta-Stepantsminda-Lars  road
New goods traceability rules to take effect in Armenia New goods traceability rules to take effect in Armenia 
The Power of One Dram Turns FiveThe Power of One Dram Turns Five
Martin Galstyan: Foreign partners reaction to  peace agreement  between Armenia, Azerbaijan in Washington is positiveMartin Galstyan: Foreign partners reaction to  peace agreement  between Armenia, Azerbaijan in Washington is positive
AraratBank and “4090 Charity” Foundation: 2309 Meters Above the EarthAraratBank and “4090 Charity” Foundation: 2309 Meters Above the Earth
Martin Galstyan:  Armenia`s economic growth is projected to be  4.9-5.3%  in 2025Martin Galstyan:  Armenia`s economic growth is projected to be  4.9-5.3%  in 2025
ENA CJSC issues statement regarding queues for connection to   distribution network ENA CJSC issues statement regarding queues for connection to   distribution network
Pashinyan discusses  fiscal and expenditure framework of  Medium-Term  Expenditure Program (MTEP) for 2026-2028Pashinyan discusses  fiscal and expenditure framework of  Medium-Term  Expenditure Program (MTEP) for 2026-2028
idcoins and profitable mortgage loans. IDBank at TOON EXPO YEREVAN 2025idcoins and profitable mortgage loans. IDBank at TOON EXPO YEREVAN 2025
SRC head  thanks Iranian ambassador for effective cooperation in  tax  and customs spheres SRC head  thanks Iranian ambassador for effective cooperation in  tax  and customs spheres
Yerevan Municipality offers tax benefits for incomplete projects to  developersYerevan Municipality offers tax benefits for incomplete projects to  developers
RA MFA responds to report on `Pakistan-Armenia deal`  RA MFA responds to report on `Pakistan-Armenia deal` 
Pakistan to recognize Armenia as UN member state, Armenia to give  green light to Pakistan`s accession to EAEUPakistan to recognize Armenia as UN member state, Armenia to give  green light to Pakistan`s accession to EAEU
Record number of tourists in Armenia in May-Aug 2025Record number of tourists in Armenia in May-Aug 2025
Regulator fines companies for unreasonably high prices for servicing  cash registers Regulator fines companies for unreasonably high prices for servicing  cash registers 
Ardshinbank Participated in Toon Expo 2025 Real Estate ExhibitionArdshinbank Participated in Toon Expo 2025 Real Estate Exhibition
Armenia`s debt to World Bank increasing Armenia`s debt to World Bank increasing 
Russian-Armenian businessman Samvel Karapetyan promises large foreign  investments for Armenia Russian-Armenian businessman Samvel Karapetyan promises large foreign  investments for Armenia 
Armenia`s electric energy output shows 6.5% y/y declineArmenia`s electric energy output shows 6.5% y/y decline
Armenian metallurgy industry`s output down Armenian metallurgy industry`s output down 
Further decline in Armenia;s industry Further decline in Armenia;s industry 
Armenia paid $5bln for mere talks about Armenia drawing closer to EUArmenia paid $5bln for mere talks about Armenia drawing closer to EU
Trump Road to facilitate Armenia-Russian communication as well - RF  vice-premier  Trump Road to facilitate Armenia-Russian communication as well - RF  vice-premier  
Share of Armenia`s TOP-5 trade partners 65% of trade turnover Share of Armenia`s TOP-5 trade partners 65% of trade turnover 
Unblocking South Caucasus puzzle consisting of numerous pieces -  Alexey Overchuk Unblocking South Caucasus puzzle consisting of numerous pieces -  Alexey Overchuk 
Armenia, Japan discuss economic cooperation prospects Armenia, Japan discuss economic cooperation prospects 
Italian Ambassador appreciates Armenia`s efforts to create a  favorable environment for foreign investment Italian Ambassador appreciates Armenia`s efforts to create a  favorable environment for foreign investment 
Instant idcoins ahead of the Armenia-Portugal football match: Idram&IDBankInstant idcoins ahead of the Armenia-Portugal football match: Idram&IDBank
Question for Central Bank: what is the cause of crisis in Armenian  payment market?Question for Central Bank: what is the cause of crisis in Armenian  payment market?
Armenia`s foreign trade turnover 42% down Armenia`s foreign trade turnover 42% down 
imID-provided Mobile ID system to be available to Team subscribersimID-provided Mobile ID system to be available to Team subscribers
Economic activity 7.1% up in Armenia in Jan-July 2025Economic activity 7.1% up in Armenia in Jan-July 2025
While speaking of peace, Armenian premier unable to esnure passage of  Armenian trucks through Georgian checkpoints - RPAWhile speaking of peace, Armenian premier unable to esnure passage of  Armenian trucks through Georgian checkpoints - RPA
Armenia`s State Revenue Committee reveals sale counterfeit vodkaArmenia`s State Revenue Committee reveals sale counterfeit vodka
Armenian premier visits Expo 2025 OsakaArmenian premier visits Expo 2025 Osaka
Russian diplomats get acquainted with Russia-sponsored UNDP projects  in Armenian Syunik Russian diplomats get acquainted with Russia-sponsored UNDP projects  in Armenian Syunik 
Armenia  to implement unified state information platform for  employmentArmenia  to implement unified state information platform for  employment
Saving time and money: Buying and selling cars in Armenia has gone  digitalSaving time and money: Buying and selling cars in Armenia has gone  digital
Converse Bank to improve MSME competitiveness within   EU4Business-EBRD programConverse Bank to improve MSME competitiveness within   EU4Business-EBRD program
Russia expecting twofold reduction in trade with Armenia by year`s  end Russia expecting twofold reduction in trade with Armenia by year`s  end 
1% idcoin within the framework of TOON EXPO: Idram&IDBank1% idcoin within the framework of TOON EXPO: Idram&IDBank
Yerevan-Kapan-Yerevan flights temporary suspended Yerevan-Kapan-Yerevan flights temporary suspended 
EBRD to provide EUR 46mln for establishment of Yerevan Customs and  Logistic Center EBRD to provide EUR 46mln for establishment of Yerevan Customs and  Logistic Center 
Read more
Exchange rates
11.09.2025
RUB4.50-0.01
USD382.750.26
EUR447.21-0.30
GBP517.32-0.42
CAD275.70-0.31
JPY25.87-0.06
CNY53.730.02
CHF478.68-0.69


Experts
Active consumer lending causes double-digit growth in bad loans Active consumer lending causes double-digit growth in bad loans 
Luys Foundation: Armenian government continues to face challenges in  budget planningLuys Foundation: Armenian government continues to face challenges in  budget planning
Armenia`s brandy and winemaking industry in crisis - economist Armenia`s brandy and winemaking industry in crisis - economist 
Read more

Commented
Even at embryonic stage, powerful impetus given to economic activity  in energy sector - ENA acting manager Even at embryonic stage, powerful impetus given to economic activity  in energy sector - ENA acting manager 
Armenian NA OKs ENA nationalization Armenian NA OKs ENA nationalization 
China preparing to open new chapter of  One Belt, One Road initiative  with involvement of Armenia - diplomat China preparing to open new chapter of  One Belt, One Road initiative  with involvement of Armenia - diplomat 
The Merger between The Merger between "Ardshinbank" CJSC and "Ardshininvestbank" CJSC Has Been Completed
Ticket packets 1.2% of total number of transport tickets in Yerevan Ticket packets 1.2% of total number of transport tickets in Yerevan 

Company bonds
UCO CJSC "GLOBAL CREDIT"1
UCO CJSC "GLOBAL CREDIT"3
UCO CJSC "GLOBAL CREDIT"4
UCO CJSC "GLOBAL CREDIT"5
UCO CJSC "GLOBAL CREDIT"7
"National Mortgage Company"2A
"National Mortgage Company"2B
UCO CJSC “FINCA” 1
UCO CJSC “FINCA” 2