Inflation in Armenia rising for first time since last October- World Bank

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YEREVAN, July 16. /ARKA/. Inflation in Armenia, increasing for the first time since October 2023, was 0.8 percent (yoy) in June./pp

The low inflation in June was mainly due to 10.8 percent (yoy) inflation in transport prices, only partially mitigated by mild deflation in food products (equal to 0.7 percent), according to the World Bank's Armenia Monthly Economic Update – July 2024 review, published on Tuesday./pp . Overall, the CPI average in the first half of 2024 recorded 0.6 percent (yoy) deflation./pp

On June 11, the CBA continued to gradually ease its policy stance, lowering the rate by 25 basis points to 8 percent. The policy rate remains well above the CBA’s pretightening rate of 5 percent before 2021/pp

In the state budget for 2024, inflation is set at 4 per cent (±1.5 per cent). According to the Central Bank's monetary policy report for the second quarter of this year, the inflation is expected to be within 0.9-1.3% in 2024 -0-/pp nbsp;/p