Armenia's inflation nears central bank's upper limit

PanARMENIAN.Net - Armenia's annual inflation rate reached 2.5% in February 2025 compared to the same month in 2024, according to the Statistical Committee of Armenia.

This inflation level approaches the maximum allowable threshold set by the Central Bank of Armenia (CBA) to maintain economic stability. Currently, this threshold is defined as 3% ± 1%, whereas before 2025, it was 4% ± 1.5%.

In February, as in January, the primary driver of inflation was a 4.5% increase in food prices, notably:

• Vegetable oil and butter: up by 13%
• Vegetables: up by 20.4%
• Fruits: up by 6.1%

Additionally, according to the Statistical Committee:

• Fish products increased by 16.2%
• Tea, coffee, and cocoa rose by 15.6%
• Meat prices decreased by 0.6%
• Dairy products and eggs dropped by 3.6%
• Sugar prices fell by 3.7%

Alcohol and tobacco prices grew by 3.4%, mainly due to an increase in excise tax implemented by Armenian authorities as part of the Eurasian Economic Union's unified policy.

Clothing and footwear prices decreased by 2.9% in February, while transportation tariffs rose by 2.6%. Medication prices saw a 3.6% increase.

In Armenia, gasoline prices increased by 0.6%, whereas diesel fuel prices decreased by 5%. Gas prices also dropped by 29%, with a notable 32.1% decline recorded in February alone.

In February 2025, the average monthly price of liquefied hydrocarbons (butane, propane, etc.) was 143.1 drams.