YEREVAN. - Last year’s processes in international markets proved beneficial for Armenia’s financial stability, Vahe Vardanyan, Head of the Financial Stability and Development Department, Central Bank of Armenia (CBA), told journalists Tuesday.

A rise of around 40% in international copper and molybdenum prices proved beneficial for Armenia’s foreign trade balance. Specifically, Armenia’s exports showed a 42% increase against a 14% increase in imports.

Armenia is heavily dependent on international oil prices. However, increasing transfers, to an extent, reduce this dependence. The amount of transfers is immediately dependent on oil prices, as Russia, an oil exporter, is major source of money transfers to Armenia. Last year, due to a high rise in oil prices, Russian transfers to Armenia showed an 18.4% increase.

The rise in international food prices affects Armenia most, Vardanyan said.

Favorable developments in the neighboring countries are beneficial for Armenia as well, he added.

The CBA believes Armenia’s financial stability remained satisfactory in 2010. If nothing extraordinary happens in international markets, Armenia will retain financial stability this year, the expert said.