The deputy minister of finance Vardan Aramyan has answered to the comments of Vartan Oskanyan on his facebook wall. Specifically concerning the observation that inflation of the national currency even increases the foreign debt load, the deputy minister said, “It’s correct that inflation even increased the load of foreign debt in foreign currency, but if we understand that the budget is a chart of flows, we will see that in the same manner of the foreign currency change influences on outflows in foreign currency, it will also influence on the inflow in foreign currency. Accordingly the only fact that we are simply attracting foreign currency (foreign currency inflows are more than outflows), shows that the situation is totally different.” He also said that inflation of the national currency results in the increase of taxes on import. In a word, what the deputy minister says is that the national currency inflation does not make the foreign debt load even harder. Meanwhile, the same ministry’s report on 2011 state debt writes the following: “In the end of 2011 the foreign debt of Armenia compared to 2010 increased by 177.5 billion drams, 80.0b billion out of which was resulted from the national currency inflation over the US dollar.”
