YEREVAN, March 18. /ARKA/. "We are against use of any instrument that restrains the growth of the economy. But we can understand why the Central Bank is doing it and doing it now,’ Armenian Economy Minister Vahan Kerobyan said in an interview with CivilNet in a comment on the decision of the Central Bank  to raise March 15 the refinancing rate by 1.25 p.p. to 9.25%

“The new projected inflation spiral should be contained as soon as possible," Kerobyan added. He said that the ministry has its own measures, which, in parallel with the regulator’s "straitjacket", will provide those loopholes, which can be used to secure economic growth.

"In February, we adopted an economic modernization program that calls for subsidizing a significant part of loans taken by companies for the purchase of new equipment. We will continue to expand our investment tools," Kerobyan said.

"We will contribute to the growth of exports. And we will try to do so in order to fulfill what is planned for the year," Kerobyan said.

According to the National Statistical Committee (NSC), in late February 2022 the 12-month inflation was 6.5%. Armenian government’s growth projection for 2022 is 7%, and inflation is set at 4% (± 1.5%).  Last week the Central Bank revised down its earlier growth projection from 5.3% to 1.6% citing the problems triggered by the Russian-Ukrainian conflict.

Kerobyan said also that Armenia and Russia were considering ruble-dram swaps to stimulate trade in the national currencies.

He said as a result Armenian companies will have rubles to pay for imports from Russia, and Russian banks will be able to provide their clients with drams at the market rate. -0-