ArmInfo.Over time, if the general background is more favorable, with a parallel decrease in the refinancing rate, we will see a certain reduction in rates on loan products. This was stated by Governor of the Central Bank of Armenia Martin Galstyan during a meeting of the RA NA Standing Committee on Financial-Credit and Budgetary Affairs.
At the same time, he recalled that with the gradual increase in the key rate from 4.25% to 10.75%, the increase in bank lending rates was disproportionate, but lower. As an example, Galstyan referred to rates on mortgage loans, which are more in demand among the population, noting that the latter increased in the range of 1.5%-2% during this period.
"Now we see that our reduction in the refinancing rate mainly affects the reduction in government bond yields. The yield curve has decreased significantly as a result of our decisions," said the head of the Central Bank.
Notably, on April 30 of this year, the Board of the Central Bank reduced the refinancing rate by 0.25 percentage points, from 8.5% to 8.25%. The previous reductions in the refinancing rate in 2024 took place on January 30, 2024 - by 0.5 percentage points from 9.25% to 8.75% and then on March 12, 2024 - by 0.25 percentage points, from 8.75% to 8.5%.
According to the data of the Statistical Committee, as of the end of March this year, the average indicator for lending rates for AMD loans of Armenian banks is 12.28%, for deposits - 8.03%.
