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NO SERIOUS INTEREST RATE FLUCTUATIONS EXPECTED IN ARMENIA
ARKA
Apr 9, 2009
YEREVAN, April 9. /ARKA/. Chairman of the Central Bank of Armenia
(CBA) Artur Javadyan does not expect any serious fluctuations of
interest rates on the market.
"To stimulate the demand for AMD deposits, Armenian banks had to
raise interest rates to have necessary funds for AMD crediting,"
Javadyan told reporters at the Novosti press center.
He pointed out that this approach is practiced in many countries.
Specifically, in Russia the annual interest rate on deposits averaged
16-17 per cent, and in Armenia it ranges from 10.5 to 14 per cent,"
Javadyan said.
Javadyan believes that this rise cannot but influence interest rates on
credits. He pointed out that, according to the Armenian law, interest
rates on credits cannot exceed a double of the bank interest rate,
that is, 24%.
"Under the circumstances I do not expect any serious fluctuations of
interest rates in Armenia. The banks will just assess the market and
economic risks, which will influence their rates," Javadyan said.
ARKA
Apr 9, 2009
YEREVAN, April 9. /ARKA/. Chairman of the Central Bank of Armenia
(CBA) Artur Javadyan does not expect any serious fluctuations of
interest rates on the market.
"To stimulate the demand for AMD deposits, Armenian banks had to
raise interest rates to have necessary funds for AMD crediting,"
Javadyan told reporters at the Novosti press center.
He pointed out that this approach is practiced in many countries.
Specifically, in Russia the annual interest rate on deposits averaged
16-17 per cent, and in Armenia it ranges from 10.5 to 14 per cent,"
Javadyan said.
Javadyan believes that this rise cannot but influence interest rates on
credits. He pointed out that, according to the Armenian law, interest
rates on credits cannot exceed a double of the bank interest rate,
that is, 24%.
"Under the circumstances I do not expect any serious fluctuations of
interest rates in Armenia. The banks will just assess the market and
economic risks, which will influence their rates," Javadyan said.