IMF forecasts high inflation in Armenia

The goal of the IMF delegation, which arrived for a visit to Armenia on Feb. 4, is to sign a U.S. $74 million credit agreement with the Armenian government after the third stage of the stand-by program has been checked.

The IMF is to allocate over U.S. $800 million to Armenia.

The country has received half of the funds, with the rest to be provided by next June.

Mark Lewis, Head of the IMF’s mission, pointed out that external factors account for the high inflation rates in Armenia last year.

Although high inflation rates are expected during the next one or two months, inflation is expected to go down in the latter half of 2010.

Lewis predicts an inflation rate of 6 percent in Armenia for this year against 7.5 percent last year.

Despite the expected price rise in Armenia, inflation will be falling, he said.

/News.am/