Yerevan/Mediamax/. At the session on October 12, Board of the Central Bank (CB) of Armenia made a decision to leave the refinancing rate unchanged at the level of 7.25%.

Mediamax was informed in the press service of CB that 0.2% deflation was registered in September, 2010, as compared to the previous month, in conditions of which the inflation index for 12 months reduced by 1 percentage point, making 8.6%.

Despite the fact that developments in international markets of foodstuffs and in agriculture have lead to a high inflation background, CB Board, nevertheless, considers that the reduction of 12 months’ inflation, registered in September, will continue and in the foreseeable future inflation will be near the upper limit of the targeted level.

CB Board is unanimous that despite reduction of economy growth speeds, gradual restoration of domestic demand is observed. The latter, however, does not provoke inflationary pressures, moreover, toughening of monetary credit policy and developments in the currency market continue contributing to weakening of inflationary background.

Taking into account the current situation, when the inflationary background continues being formed because of influence of offer factors, including new risks in international foodstuffs and raw materials markets, CB Board decided to refrain from toughening monetary-credit policy.