As a result of developments in Russia, an increase in domestic demand is observed in Armenia, which leads to an increase in salaries in the private sector. Martin Galstyan, Governor of the Central Bank (CBA) of Armenia, said this at Thursday’s special meeting of the National Assembly Standing Committee on Financial-Credit and Budgetary Affairs.

According to him, the private sector wages in Armenia have increased by about 18 percent this year.

"It is mainly due to the service sector; in particular, IT companies have increased the salaries of their employees; we also have a decrease in unemployment.

Now in Armenia we also observe an increase in the prices of such services which have never increased; for example, hairdressing services. Approximately half of our consumer basket had inflation of more than one percent; that is, this is widespread because, in our estimation, Armenia is currently in a boom. Our production capacity does not deny meeting the demand that we have. And here the CBA has a job to do. If people start not believing that it is again possible to return to a low inflation environment in this country, we have to take action," Galstyan said.

The CBA governor noted that there is currently 10.3 percent inflation in Armenia, and called to instill in the Armenia public that the CBA will definitely bring the inflation to the 4-percent target, which is extremely important.