Armenian banks' lending rates to show a downward trend in 2020
14.02.2020,
16:23
Armenian banks' lending rates will show a downward trend in 2020, Mher Abrahamyan, the chairman of the Union of Banks of Armenia, told reporters on Friday.
YEREVAN, February 14. /ARKA/. Armenian banks' lending rates will show a downward trend in 2020, Mher Abrahamyan, the chairman of the Union of Banks of Armenia, told reporters on Friday.
According to him, the downward trend will be prompted by increasing competition in the market. "We already expect a decline, but I do not think it will be significant," Abrahamyan said.
For his part, the executive director of the Union of Banks of Armenia Seyran Sargsyan noted that the banks raised serious funds, and there will be a need for their placement.
"Given these factors, the competition will create pressure on rates, but not in the short term," Sargsyan said.
According to the Union of Banks of Armenia, from 2014 to this day, average interest rates on loans have decreased by 4.5-5%. Moreover, the interest rates have dropped both on loans in foreign currencies and Armenian drams.
Armenian banks' lending in late 2019 amounted to 3.572 trillion. drams, which was 10.1% or 327 billion drams more than in 2018. ($1 - 479.11 drams). -0-
According to him, the downward trend will be prompted by increasing competition in the market. "We already expect a decline, but I do not think it will be significant," Abrahamyan said.
For his part, the executive director of the Union of Banks of Armenia Seyran Sargsyan noted that the banks raised serious funds, and there will be a need for their placement.
"Given these factors, the competition will create pressure on rates, but not in the short term," Sargsyan said.
According to the Union of Banks of Armenia, from 2014 to this day, average interest rates on loans have decreased by 4.5-5%. Moreover, the interest rates have dropped both on loans in foreign currencies and Armenian drams.
Armenian banks' lending in late 2019 amounted to 3.572 trillion. drams, which was 10.1% or 327 billion drams more than in 2018. ($1 - 479.11 drams). -0-
