Decrease in refinancing rate results in lower interest rates of loans – CBA Vice President

Over the past year 4-5% decrease in interest rates of all loans has been registered in Armenia, Vice President of the Central Bank of Armenia (CBA) Nerses Yeritsyan said in the parliament in response to the question of Tsarukyan bloc MP Mikayel Melkumyan.

“The interest rates have decreased because inflation is low in Armenia and the inflationary expectations will remain low in our predicted horizon. It is already a year we keep the refinancing rate 6% and after the 2014 shock we have gradually decreased the rate to today’s level”, he said.

Nerses Yeritsyan added that the CBA’s policy to decrease the refinancing rate has led to the fact that the commercial banks have already started to react to the decrease.