YEREVAN. – The purchasing power parity (PPP) of the Armenian national currency—the dram (AMD)—against the American dollar (USD) may be even lower than the current exchange rate—which is around AMD 474.48/$1—, economist Ashot Khurshudyan stated on Thursday.
In his words, consistent with the PPP, AMD 1 may even reach USD 700, especially due to today’s oil prices.
“As is known, the oil deals and the exchange rate of the dollar are in a certain inverse correlation. The cheaper the oil is, the dollar can be that much higher; that is, the dram might depreciate hereafter, too, against the dollar as well as the other currencies of the world,” Khurshudyan added.