Outer transfers help only improve nourishment of Armenian families

Food prices rose in Armenia recently, while the prices of other kinds of commodities did not, reports.

The inflation reached 0.9% in Armenia in July. It has been particularly evident in retail trade which increased for 6.2% from January to June. The favorable factors are supposed to be the outer financial transfers – substantially from Russia – to physical persons in Armenia. The purchasing capacity increase has entailed price increase of several commodities. The food prices rose for 3.3% in July. The increase of alcohol and cigarette prices is probably connected with the excise taxes for the cigarettes and not with the increase in number of the consumers.

However, the transfers did not change much. A limited supplement to the frugal family budgets has helped only to improve the nourishment. The prices of other kinds of commodities have not increased and even dropped to some extent.

The prices of communication services decreased but only for 0.1%. There is a negative tendency in the sphere of mobile services (24.7% fall). The situation is almost the same with landline phone – profits dropped for 18%. On the contrary, the physical availability of internet connection increased for 34.8%.

Internet provides large opportunity for communication, as for example video-communication by Skype and social networks, as well as Viber. It is natural that free video-communication is more attractive than paid talk. Thereby, the shift from paid phone communication to internet is not ruled out.


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