YEREVAN, July 8. /ARKA/. A member of the Council of the Central Bank of Armenia, Armen Kotoyan, outlined five key factors influencing inflation in the country in an interview with CivilNet:
The first factor he mentioned was the strengthening of the dram, which currently has a restraining effect on inflation. "The strengthening of the dram against other currencies is essentially a condition that influences inflation downwards," Kotoyan said.
The second factor is structural problems in the economy, including issues related to logistics and the characteristics of certain markets.
The third factor is the rise in prices for certain food products. Kotoyan noted that in recent months, significant contributions to inflation have come from meat, dairy products, and beverages.
"The meat factor as an inflationary effect has already become traditional in recent months," he said.
According to Kotoyan, in June 2026, meat and meat products rose in price by 12.5% compared to June of the previous year.
The fourth factor he mentioned was external inflationary effects, including the impact of the Middle Eastern conflict on oil prices.
The fifth factor is the inflation expectations of the population. Kotoyan emphasized that for the Central Bank, it is important not only to consider actual price changes but also how the population perceives inflation.
"If you expect high inflation or subjectively perceive that inflation is high, then you will also expect high inflation in the future," he noted.
According to Kotoyan, such expectations affect everyday purchases, investment activity, and can solidify inflation at a higher level. He also pointed out that compared to several countries in the region and trading partners, inflation rates in Armenia remain more favorable.
