Weakening economic growth and high inflation are possible in the US, which could impact Armenia – Central Bank Governor
17.03.2026,
17:17
An unfavorable situation could develop in the US, with a significant weakening of economic growth and high inflation, stated Martin Galstyan, Governor of the Central Bank of Armenia.
YEREVAN, March 17. /ARKA/. An unfavorable situation could develop in the US, with a significant weakening of economic growth and high inflation, stated Martin Galstyan, Governor of the Central Bank of Armenia.
"In such a case, the Fed's previously planned interest rate cuts may not materialize, meaning interest rates will remain higher, which also implies a higher neutral interest rate in the US and, as a result, a somewhat higher level of the rules of the game in Armenia and other countries," he said at a press conference on Tuesday.
This, according to Galstyan, will also, to a certain extent, limit the regulator's options.
On March 17, the Central Bank of Armenia maintained its refinancing rate at 6.5% for the third consecutive time. Since June 2023, the Board of the Central Bank of Armenia has been continuously lowering the refinancing rate, gradually bringing it from 10.75% to 6.5% in December 2025.
"In such a case, the Fed's previously planned interest rate cuts may not materialize, meaning interest rates will remain higher, which also implies a higher neutral interest rate in the US and, as a result, a somewhat higher level of the rules of the game in Armenia and other countries," he said at a press conference on Tuesday.
This, according to Galstyan, will also, to a certain extent, limit the regulator's options.
On March 17, the Central Bank of Armenia maintained its refinancing rate at 6.5% for the third consecutive time. Since June 2023, the Board of the Central Bank of Armenia has been continuously lowering the refinancing rate, gradually bringing it from 10.75% to 6.5% in December 2025.
