YEREVAN, December 10. /ARKA/. Armenia’s Central Bank decided today to leave the refinancing rate unchanged at 5.5%.
The press service of the regulator said the inflation in November 2019 was 1.1%, up from 1% inflation reported for the same period last year. As a result, the 12-month inflation in 2019 November was 1%.
The Central Bank said also given the low rates of global economy growth and weak global demand along with low inflationary environment in international commodity markets it does not expect a significant impact on the inflation from the external sector.
According to it, the economic activity in the third quarter exceeded the forecasted level, which will continue into the fourth quarter, to be driven largely by services.
It said the domestic demand remains high because of increased private consumption, promoted by a stimulating monetary position.
The regulator said despite the fact that since the beginning of the year the impact of fiscal policy on gross demand is estimated as deterrent, nevertheless in the fourth quarter and next year the impact of fiscal policy is expected to be stimulating.