YEREVAN, September 16. /ARKA/. Armenia’s inflation in 2020 and 2021 will be at the lower projected target band, Central Bank Chairman Martin Galstyan told reporters on Tuesday. According to him, inflation in 2020 is expected to be at the lower projected band of 4% (± 1.5%).
“Taking into account that the target figure is about 4% with the possibility of fluctuations, we expect that by the end of 2020 it will be at the lower level of 2.5%,” Galstyan said.
At the same time, he noted that, according to forecasts for 2021, inflation will also be close to the lower projected banned, but already within 1.7-2%.
Galstyan also said that the 12-month inflation in August 2020 compared to August 2019 amounted to 1.8%, while natural inflation slightly increased to 1.1%.
According to the National Statistical Committee, in August 2020, compared to July, the country recorded a 0.1% deflation. At the same time, in January-August 2020, prices increased by 0.8% compared to the same period in 2019.
On April 29, the National Assembly of Armenia approved a revision of 2020 budget indicators, prompted by the spread of COVID-19. The budget forecast for GDP was reduced to a decline of 2%, down from the originally projected growth of 4.9%. The budget deficit was increased to 340 billion drams, or 5% of GDP, up from previous projection of 2.3%. ($1 – 488.57 drams).