ArmInfo. The factor of the Iranian-Israeli conflict may lead to an increase in the refinancing rate in Armenia, as stated by Martin Galstyan, the Chairman of the Central Bank of Armenia, in parliament on June 17.
"We live in a time and region where risks are incomparably higher, and this should have been reflected in the refinancing rate, which should have been higher. This is important as our most important task is to maintain macroeconomic stability, and Armenia is the point where this stability is maintained. We have a low budget deficit, public debt of less than 50%, established tax regulations, and a low inflation rate. In other words, we have a strong foundation on which to base structural reforms such as infrastructure, education, science, sports, etc., that can help attract investment to the country," the country's chief banker said.
He pointed out that the Central Bank, with today's decision, has kept the refinancing rate at the previous level - 6.75%, taking into account even the unpredictable nature of the Iran-Israel conflict. Galstyan also discussed investments, noting that the country's commercial banks are actively financing investment projects for companies. "In this area, we are seeing a growth of 20% once again. However, the future belongs to equity capital," the head of the Central Bank of Armenia concluded.
