YEREVAN, August 16. / ARKA /. The inflation for Armenia’s vulnerable families in the second quarter of the year amounted to about 20%, according to a management expert Harutyun Mesrobyan, who told a news conference today that inflation rate is contingent on which methodology is used to gauge it.
"If we remove from the vulnerable families’ subsistence basket goods which we do not buy everyday, we will have quite a different situation with the inflation rate; in fact it will be several times higher than the official figures," he said.
He said almost 1.1 million of the population spends their money mainly on food and utility bills and this is why the subsistence basket for insecure families should have 50-60 names of goods.
According to him, the prices of agricultural products have surged threefold over the past year, and besides the prices of gas and electricity have also risen. According to the expert, the official inflation rate practically affects only the wealthy citizens who make up about 10% of the population.
The subsistence basket, calculated on the basis of the consumer price index, includes 470 various goods.
According to the Central Bank of Armenia, headline inflation rose by 0.4 percent in July for an annual rate of 8.5 percent, up from 6.5 percent in June, fuelled by an increase in electricity and gas prices. -0-