IMF forecasts inflation in Armenia at 0.2 percent in 2024 and 3.1 percent in 2025

YEREVAN, November 26. /ARKA/. The International Monetary Fund (IMF) expects inflation in Armenia to be 0.2% in 2024 and 3.1% in 2025. 

"Inflation in Armenia will remain within the target range set by the Central Bank," said IMF Resident Representative in Armenia Umang Rawat, presenting the report "Caucasus and Central Asia: Economic Outlook and Political Challenges."

He noted that the pressure, which in 2022 and early 2023 was caused by a number of factors, including the influx of labor from Russia and India, as well as the integration of refugees from Nagorno-Karabakh into the labor market, is gradually decreasing.
According to Rawat, after a significant increase in 2022, inflation was reduced thanks to the implementation of prudent policies and external factors.

"The quick and prudent response of the Central Bank of Armenia, which tightened its monetary policy amid rising global inflation, was crucial for reducing inflation.Currently, inflation is very low," he said.

The Armenian state budget for 2024 forecasts inflation at 4% (±1.5%). According to the Central Bank's report on monetary policy for the third quarter of the current year, inflation in Armenia is expected to be in the range of 2.1-2% by the end of 2024, with forecasts for the following year at 4-3.2%.-0-