ARDSHININVESTBANK LEADER IN ECONOMY CREDITING IN ARMENIA’S BANKING SYSTEM IN FIRST HALF OF 2007
arminfo
2007-08-02 16:07:00
Assets in Armenia’s banking system grew by 12.2% over the first half of
2007 and by 27% as compared with the same period of 2006. As compared
to 2004, the growth made up 91% to 609.9 billion drams ($1.8 billion)
on June 30. The growth was connected with the annual increase in
crediting by 38.2% and over than doubling as compared to 2004. In
addition, it was connected with the increase in investing in state
bonds by 35% as compared with the first half of 2006 and almost trice
as against 2004.
According to the Ranking of Commercial Banks of Armenia prepared by
the Agency of Rating Marketing Information (ArmInfo), real crediting
grew to 307.7 billion drams ($902.4 million) as of June 30 2007 and
made up 50.55 of assets. The share of economy crediting made up 50.5%
of total provision of crediting or 155.4 billion drams ($455.7). This
indicator grew by 20.7% as compared to the first half of 2006 and by
17.5% in the first half of 2007.
As compared to 2004, the share of economy crediting grew by 101.1%. In
addition, the summary crediting of individuals by commercial banks
grew by 61.7% as compared with the first half of 2006 and by 38.8% in
the first half of 2007, as well as by 208.8% as compared to 2004. The
summary crediting of individuals totaled 142 billion drams or $416.1
million (46.1% of total provision of crediting) on June 30. Crediting
of individuals grew due to activation of commercial banks in the
market of auto loans, consumer crediting and mortgage lending.
Ardshininvestbank ensured the largest volume of economy crediting –
24.9 billion drams (54.2% of total), Bank ACBA Credit Agricole – 20.9
billion drams (52.7%), HSBC Bank Armenia – 18 billion drams (47.5%),
VTB Armenia – 11.6 billion drams (50.5%), and Armeconombank – 10.7
billion drams (42.5%).
Moreover, the agricultural credits by ACBA Credit Agricole Bank were
included into the item of economy crediting. As regards crediting of
individuals, HSBC Bank Armenia is in the lead having ensured 19.9
billion drams credits (52.5% of its total provision of crediting)
on June 30 2007.
ACBA Credit Agricole Bank is on the second position – 18.3 billion
drams (46.1%), and Ardshininvestbank is on the third position –
15.9 billion drams (34.6%).
As regards the share of crediting of individuals in total provision
of crediting, Areximbank is in the lead – 69.3% or 5.7 billion drams
due to the bank’s position in the market of auto loans. Thus, the
bank invested 33% of its credit portfolio or 2.7 billion drams in
the market, which is almost 12% of the auto loans in the aggregate
portfolio of commercial banks.