"ESCAPE" OF CAPITAL

http://www.lragir.am/engsrc/economy-lraho s17350.html
15:40:49 - 30/03/2010

There are no monetary prerequisites for the devaluation of the dram,
said the former head of the Central Bank of Armenia Bagrat Asatryan.

He believes that under normal policy, dollar will not grow so quickly.

Bagrat Asatryan notes that there is a public expectation of
devaluation of the dram, because it does not trust the financial and
economic policy of the government, which leads to inflation. This was
facilitated by the gas price hike, which, according to the economist,
is an administrative decision. Bagrat Asatryan believes that in order
to stop the devaluation of the dram, CB will try to reduce the amount
of the dram in the market, and will hinder the economic development.

Devaluation of the dram is one of the reasons of the "escape" of the
capital of Armenia, as well as economic monopolies.