ROUNDTABLE "MARKET SOURCES OF OF LONG-TERM FUNDS FOR FINANCIAL ORGANIZATIONS" HELD IN ARMENIA
29.05.2007,
23:31
A roundtable "Market sources of long-term funds for financial organizations" has been held in Yerevan.
YEREVAN, May 29. /ARKA/. A roundtable "Market sources of long-term funds for financial organizations" has been held in Yerevan.
During his speech of welcome, Karl Fickenscher, Deputy Director of the USAID office in Armenia, said that this roundtable is the first event of this type aimed to discuss the mechanisms of obtaining long-term funds by financial organizations.
The maim goal of the discussions is to find the ways of attracting funds from Armenia's alternative financial sources for banks and credit organizations to meet the constantly growing demand for long-term credits, he said.
According to him, the banks' resources formed of deposits are currently short-term resources, while clients want to receuive longer-term credits.
This discrepancy between the sources of financing and long-term crediting is an obstacle to the increase of the banking sector's share in Armenia's economy, he said.
Fickenscher also pointed out that this event is part of the program of developing Armenia's financial sector, which envisages the enhancement of efficiency of funds, facilitation of development and introduction of a wider range of banking, mortgage, insurance, pension and other mechanism.
The program is aimed at enhancing stability, provision and integrity of Armenia's financial sector, as well as assistance to the Central Bank of Armenia in monitoring of financial organizations on the basis of universal standards, Fickenscher said.
By March 31, 2007, twenty-one commercial banks and 17 credit organizations had been operating in Armenia. The banks' capital had totaled AMD 127.9bln, liabilities AMD 42.5bln, assets 551.4bln. Residents' credit investments, deposits, factoring and leasing operations totaled AMD 272.7bln.
By March 31, 2007, the capital of Armenia's credit organizations had amounted to AMD 8.9bln, liabilities AMD 17.6bln, assets AMD 26.4bln. Residents' credit investments, deposits, factoring and leasing operations totaled AMD 25.6bln. ($1 - AMD 349.05). P.T. -0—
During his speech of welcome, Karl Fickenscher, Deputy Director of the USAID office in Armenia, said that this roundtable is the first event of this type aimed to discuss the mechanisms of obtaining long-term funds by financial organizations.
The maim goal of the discussions is to find the ways of attracting funds from Armenia's alternative financial sources for banks and credit organizations to meet the constantly growing demand for long-term credits, he said.
According to him, the banks' resources formed of deposits are currently short-term resources, while clients want to receuive longer-term credits.
This discrepancy between the sources of financing and long-term crediting is an obstacle to the increase of the banking sector's share in Armenia's economy, he said.
Fickenscher also pointed out that this event is part of the program of developing Armenia's financial sector, which envisages the enhancement of efficiency of funds, facilitation of development and introduction of a wider range of banking, mortgage, insurance, pension and other mechanism.
The program is aimed at enhancing stability, provision and integrity of Armenia's financial sector, as well as assistance to the Central Bank of Armenia in monitoring of financial organizations on the basis of universal standards, Fickenscher said.
By March 31, 2007, twenty-one commercial banks and 17 credit organizations had been operating in Armenia. The banks' capital had totaled AMD 127.9bln, liabilities AMD 42.5bln, assets 551.4bln. Residents' credit investments, deposits, factoring and leasing operations totaled AMD 272.7bln.
By March 31, 2007, the capital of Armenia's credit organizations had amounted to AMD 8.9bln, liabilities AMD 17.6bln, assets AMD 26.4bln. Residents' credit investments, deposits, factoring and leasing operations totaled AMD 25.6bln. ($1 - AMD 349.05). P.T. -0—
