Monday, October 14 2019 19:18

ArmInfo. By the end of 2019, Armenia may come close to the inflation target of 4% (+/- 1.5%). This was stated by Minister of Economy of Armenia Togran Khachatryan on  October 14 at a press conference.

According to the National Statistical Committee of Armenia, in  August, compared with July, the country recorded deflation of 0.4%.  At the same time, inflation for January-August 2019 compared to the  same period in 2018 amounted to 1.8%.

According to Khachatryan, the authorities of the country, of course,  are striving for the target indicator, the so-called comfortable  environment for the Armenian economy, defined at 4%. "The main thing  is that the indicator does not go far beyond the stipulated 4%, and I  consider staying in the range of 3-4% a positive phenomenon," he  said.

Recall that, according to the inflation report of the Central Bank of  the Republic of Armenia for the third quarter of 2019, the inflation  rate in Armenia at the end of the year will be lower than the target  mark.  According to the regulator's report, this year a weak  inflationary environment was formed under the influence of a number  of external and internal factors, as a result of which the Central  Bank continued to pursue a restrained monetary policy.

At the same time, the Central Bank believes that low inflation  currently helps to curb long-term inflation expectations and maintain  income solvency. In this regard, the regulator prefers to pursue a  policy aimed at the gradual recovery of inflation. According to  experts of the Central Bank, the main reason for low inflation in the  medium term is mainly the low aggregate demand and restrained fiscal  policy of the government. According to the state budget of Armenia,  the average annual inflation planned for 2019 is 2.7%.