Monday, June 7 2010 19:10

ArmInfo. Over Q1 2010 VTB Bank (Armenia) ensured considerable growth in the main financial indices. Director of
Financial Department of VTB Bank (Armenia) Yuri Gusev told journalists, Monday, that over Q1 2010 the assets of the bank grew by 5,6% to 125.6 bln AMD.

According to him, the growth was mostly ensured at the expense of loans provided to individuals "in connection with the fact that the market of crediting individuals by banks is estimated more positive than in 2009, and we are actively working with these clients".

Over Q1 2010 the credit portfolio of the bank increased by 6,7% to 82.5 bln AMD due to the growth in trade financing and other loans for legal entities and individuals. "The portfolio of loans for individuals grew by 17,4% to 28 bln AMD mostly due to the loans secured by gold, as well as auto-credits and mortgage loans, the latters amounting to 8.8 bln AMD",- he said. According to Gusev, crediting of legal entities by the bank grew by 2,2% to 50.9 bln AMD mostly due to the growth in trade financing by 16,7% to 11 bln AMD. The loans for banks amounted to 3.6 bln AMD.

Gusev said that the share of the funds of legal entities in the structure of obligations grew by 21.9% to 37.1bln AMD (20.7bln AMD in call deposits), the share of the funds of physical entities - by 13.2% to 26bln AMD. In Q1 2010 the funds of the Armenian banks decreased by 11.3% to 34.9bln AMD. "The funds we attract from the head company and VTB Group have decreased, that is, we have switched to local funding, particularly, we have reduced the cost of funding, which has had a serious impact on our financial performance," Gusev said. In Q1 2010 the bank attracted 99.8bln AMD (6.3% growth).

In Q1 2010 the net profit of VTB Bank (Armenia) totalled 670mln AMD.

According to the Ranking of Commercial Banks of Armenia prepared by the Agency of Rating Marketing Information (ArmInfo), Apr 1 2010 VTB Bank (Armenia) had the 3rd biggest assets, credit portfolio and obligations in Armenia's banking system.