Total assets of Armenian banking system 1,117.7 billion drams by end of June

YEREVAN, July 29. /ARKA/. Total assets of Armenian banking system were 1,117.7 billion drams by the end of June 2009, which is a reduction of 10.2 billion drams or 0.9% over the second quarter of 2009.

Cash grew by 6.7 billion drams or 12.8% up to 59.3 billion drams over the second quarter, says the banks’ review by the Central Bank of Armenia (CBA).

In the reporting period, correspondent accounts in banks drastically increased by 59.4% or 40.3 billion drams up to 108.1 billion drams.

Banks’ liabilities to the Central Bank (including correspondent accounts) reduced by 2.1 billion drams or 1.3% down to 156.2 billion drams in the reporting period.

Liabilities to banks and other financial organizations went down by 30.1% or 16.8 billion drams to 39.1 billion drams by the end of the second quarter.

Possible loss reserve on assets grew by 4.2 billion drams or 28.3% up to 18.8 billion drams in the period.

Credits to legal entities went down by 8.5 billion drams or 2.7% to a total of 308.7 billion drams.

Credits to individuals reduced by 22.6 billion drams or 7.4% to a total of 283.3 billion drams.

Credits issued to persons affiliated with banks were 3.8% down to about 17 billion drams by the end of June 2009.

Investments in government securities reduced 7.8% or by 5.9 billion drams down to 69.8 billion drams by the end of June.
Leasing and factoring transactions decreased by 23.6% down to 5.7 billion drams in the reporting quarter.

Investments in other securities grew by 25.2% up to 4.9 billion drams by the end of June.

Banks’ fixed assets totaled 53.1 billion drams at the end of June 2009 against 51.8 billion drams at the end of March 2009; accrued interest due was 7.3 billion drams, other assets were 24.1 billion drams against about 21.4 billion drams in the beginning of the quarter.

According to the preliminary information based on interim financial reports of banks for the second quarter of this year, the following were the five biggest banks in the first half of 2009 in terms of assets – ACBA-Credit Agricole Bank (143.2 billion drams), HSBC Bank Armenia (133.9 billion drams), Ardshininvestbank (115 billion drams), Bank VTB (Armenia) (99.3 billion drams) and Ameriabank (86.2 billion drams).

There were 22 banks and 383 branches operating in Armenia on June 30 this year. ($1=367.15 drams). –0--