Tuesday, March 15 2011 11:32
Dollarization in Armenia down 6.3%
ArmInfo. Dollarization in Armenia is down 6.3% as annual growth of dram deposits outstripped the growth of foreign exchange deposits. Thus, dram deposits grew 33.7% as of late Feb 2011 whereas foreign exchange deposits grew 6%. Dram deposits grew 5.4% for Feb whereas foreign exchange deposits grew 1% making dollarization down 1.8% for Feb.
Central Bank of Armenia told ArmInfo banks have retained high rates of lending to the economy (29.4% for late Feb 2011 versus the same period of 2010), despite the toughened monetary policy. Lending to the economy grew 1.5% for Feb. Monetary base and dram base grew 3.2% for Feb. In fact, dram supply grew more significantly than money supply - 4.3% and 2.8% respectively. Money supply grew 13.1% per annum, dram supply - 19.6% and monetary base - 4.7%.
In Dec 2010 versus the same period of 2009 dram deposits grew 23.7% and foreign exchange deposits -2.7% (or 7.7% exclusive of appreciation of dram). In fact, dollarization fell 4.6%. Monetary base in Armenia fell almost 1% in 2010 and grew 11.5% for Dec to 507.5 bln drams on Jan 1 2011 ($1.4 bln). Money supply grew 11.8% for 2010 and 8.6% for Dec to 911.4 bln drams (42.5 bln).
Deposits raised by commercial banks grew almost 7% for 2010, 6.7% for Dec to 702.3 bln drams ($1.9 bln) on Jan 1 2011. Credit exposure of commercial banks grew 26% for 2010, 4.5% for Dec to 941.5 bln drams (42.6 bln). Exclusive of prolonged and overdue loans, credit exposure totaled 891.8 bln drams ($2.4 bln) with 4.6% growth for Dec. The share of dram loans in the total loan portfolio of commercial banks was 43%, the share of foreign exchange loans - 57%. Loans in terms drams grew 8.6% versus 36.8% growth of foreign exchange loans.
Expert: Electricity tariff containment in Armenia is only temporary
Political Scientist: Armenia`s withdrawal from Eurasian Economic Union (EAEU) to result in its dependence on Azerbaijani and Turkish markets
Artur Avetisyan: All discussions regarding the choice of a future NPP model will remain mere talk until there is a vision for strategic development
ATI.SU: Demand for international cargo transportation 30% up in Armenia
Civil Contract nominates Armen Ktoyan for Central Bank Board Member position
Armenia, France considering prospects for expanding technological cooperation 
Over 99.9% of wheat imported to Armenia comes from Russia