Inflation in Armenia accelerated in April, reaching 5.3% year-on-year, compared to 4.5% a month earlier. This is stated in the macroeconomic review of the Eurasian Development Bank, which notes increased price pressure in several segments of the consumer market.
The main driver of growth was food inflation, which rose to 9.5% from 7.8% previously. The growth in prices for non-food products also accelerated to 1.5%, while in the previous month the figure was 0.8%. At the same time, the services sector remained relatively stable, maintaining a level of 2.6%.
Against the backdrop of these processes, the Central Bank of Armenia maintained the refinancing rate at 6.5%. According to the EADB's assessment, the decision is related to the current inflation dynamics and expectations for a reduction in the country's risk premium, which in the future may affect a softer trajectory of interest rates.
