ArmInfo. The Armenian forex interbank increased the amount of transactions almost 2-fold on February 20-24 versus 3.3-fold decline a week before. In addition, the intrabank market intensified EUR operations, while the demand for dollars and rubles declined. A small amount of transactions was registered on NASDAQ OMX Armenia as well. As a result, AMD slightly appreciated against USD and RUR from 487 to 486.5 AMD/$1 and from 8.5 to 8.4 AMD/1 RUR, and significant appreciated against EUR from 520 to 516 AMD/1EUR. For comparison it should be noted that in early 2016 the AMD/USD exchange rate was 482 AMD/$1, AMD/EUR exchange rate was 529 AMD/1EUR, and AMD/RUR exchange rate was 6.9 AMD/1RUR. In 2016 the foreign exchange market showed signs of life rarely, making one at a time transaction between March and May: USD100 thousand in March, USD 2.950 mln in April and USD 800 thousand in May, after which it was passive. In Jan-Oct 2016, the Central Bank bought USD on the foreign exchange market in April (USD2.4 mln at 478.5 AMD/$1 rate), June (USD 50.2 mln at 476.72 AMD/$1), August ($19.8 mln at 474.25 AMD/$1), September (USD28.8mln at 474.11 AMD/$1) and October (USD 50.8 mln at 475.47 AMD/$1), and sold in January, February, November, and December (USD53.1 mln, USD 41.5mln, USD 13.1 mln, and USD15 mln respectively at 484.69 AMD/$1, 492.59 AMD/$1, 478.56 AMD/1USD and 483.06 AMD/1USD, respectively).
The press office of the Central Bank of Armenia has told ArmInfo that on Feb 20-24 the interbank forex market registered operations worth $11.650 mln (almost 2-fold growth versus a week before) at the average exchange rate of 486.96 AMD/$1 (versus previous 487.04). On Nasdaq OMX Armenia operations amounted to $200 thsd (2-fold decline versus a week before) at the exchange rate of 487.25 AMD/$1 (versus previous 487). Along with this, on the intrabank market the USD purchase and sale declined by 10- 12%, RUR purchase grew by 2%, while the sale dropped by 38%. EUR purchase grew by 97%, while the sale rose by 24%. As a result, the purchase made up $62.6 mln at the average exchange rate of 485.92 AMD/$1, 13.8 mln EUR at 512.68 AMDа/1EUR Ё 811.2 mln RUR at 8.36 AMD/1RUR, while the sales amounted to $74.3 mln at 487.46 AMD/$1, 12.4 mln EUR at 516.66 AMD/1EUR and 300.3 mln RUR at 8.47 AMD/1RUR.
The source says that on Feb 13-18 Armenian banks provided AMD loans worth 41.5 bln AMD and USD loans worth $44.3 mln.
To recall, in 2015, on the retail foreign exchange market of Armenia AMD weakened against USD from 477 to 482 AMD/USD1 on average and strengthened against EUR from 571.5 to 529 AMD/1EUR and against Russian ruble from 8.2 to 6.9 AMD/1 RUR. Between December 14 and 28, the Central Bank made almost daily interventions. AMD depreciated amid decline of foreign trade turnover (by 20.6%), while import dropped more significantly (by 26.5%) than export (by 3.9%) as well as the decline in transfer inflow to Armenia more than by 30%, and this happened in conditions of low buying capacity of the population and low economic activity in the country. In 2016, AMD depreciated on the retail foreign exchange market of Armenia against USD and RUR to 484AMD/USD1 and 8 AMD/1RUR, and revaluated against EUR to 505 AMD/1EUR. This happened amid slackening of economic activity growth to 0.5% and decline of the net inflow of transfers (by 17.8% in Jan-Dec 2016 versus Jan-Dec 2015). At the same time, foreign trade turnover grew by 7.4% and deflation on the consumer market made up 1.4%.