Saturday, November 13 2010 12:15
Over Q3 2010 assets of Armenian banking system grew by 6% to 1.452 trln AMD or $4 bln
ArmInfo. Over Jan-Sep 2010 the assets of the Armenian banking system grew by 7,1% (against 22,2% over Jan-Sep 2009), by 6% over Q3 alone (against 2,1% decline over Q2), the annual growth being 16,5% (against 31% annual growth in 2009), having totaled 1.452 trln AMD ($4 bln) by 30 September 2010. By the amount of assets, the top five includes ACBA-Credit Agricole Bank, Ameriabank, HSBC Bank Armenia, ArmBusinessBank, and Ardshininvestbank, the share of which exceeds 47% of the summary assets of the banking system.
According to the Ranking of Commercial Banks of Armenia prepared by the Agency of Rating Marketing Information (ArmInfo), the annual growth of assets is conditioned by the increase in provision of crediting by 27,2%, investments in government bonds - by 25%, cash funds - by 8,4%, and reduction of funds on nostro-accounts by 13,1%. The quarterly growth (over Q3 2010) of the Armenian banking system's assets is conditioned by the growth in cash funds by 7,8% (against 3,4% reduction over Q2 and 5% growth over Q3 2009), growth of funds on nostro-accounts (excluding the corresponding account in the Central Bank of Armenia) by 12,8% (against 38% decline over Q2 and 19,6% reduction over Q3 2009), growth in credit portfolio by 7,6% (against 2,3% growth over Q2 and 10,1% growth over Q3 2009) and growth of investment in government bonds by 18% (against 2,2% growth over Q2 and 51,5% growth over Q3 2009).
In the structure of assets the share of provision of crediting made up 62,2% (against 61,2% over Q2 2010 and 57% over Q3 2009), and the share of investment in government bonds made up 6,8% (against 6,1% over Q2 2010 and 6,4% over Q3 2009). According to ArmInfo experts, 0,7% quarterly growth of investment in government bonds, 1% growth in provision of crediting, and the reduction in cash funds and funds on nostro-account demonstrate that the crediting rates are maintained mostly due to the funds on nostro accounts, cash funds and the funds under international credit programs, and partly due to implementation of trade portfolios of government bonds. Moreover, the banks still focus on crediting of economy fields. By 30 September 2010, the volume of real provision of crediting totaled 902.9 bln AMD ($2.5 bln), 64,1% of them fell on economy crediting, and 30,9% - on crediting of individuals.
To note, as of 30 September 2010 there were 21 commercial banks and 400 branches. In mid June the process of merger of Cascade Bank and Ameriabank ended, the merged bank operates under the brand of Ameriabank, due to which Ameriabank's positions have become even stronger.
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