Friday, August 9 2013 16:54
ROE of Armenia's banking system up to 5.1% for 1st half of 2013 amid decline of ROA to 0.82%
ArmInfo. ROE (return on equity) of the banking system of Armenia totaled 5.1% for the 1st half of 2013, with a 0.41% growth versus the 1st half of 2012 and a 1.25% decline comparing to the same period of 2011. ROA (return on assets) fell 0.03% to 0.82% for the period under review. As compared to the same period of 2011 ROA fell 0.42%. As compared to the same period of 2010, ROE fell 0.12% and ROA - 0.28%. As compared to the pre-crisis indicator, ROE fell 0.93%, with ROA falling 0.5%.
According to the Financial Rating of Armenian Banks prepared by ArmInfo Agency, these indicators have certainly improved following the slackened growth of ROA and the balance of currency revaluation. A year ago negative balance of 10 banks exceeded 2.7bln drams. 15 banks showed decline this indicator to the negative 1.1bln drams for the period under review (over twofold in the year under review). This is nearly 6-fold less comparing to the negative balance of 12 banks for 2009 (when sharp devaluation of the national dram in March and the crisis phenomena caused unfavorable balance of currency revaluation). In general, balance of currency revaluation in the banking system fell over 5-fold with recession of the negative indicator to 0.3 bln drams. A year ago positive balance of 11 banks was more tangible than that of the 6 banks in the period under review.
Top five banks in terms of ROE are INECOBANK - 13%, HSBC Bank Armenia - 10,64%, ARARATBANK- 9.38%, Ameriabank - 7.36%, and ArmSwissbank - 5.94%. Top five banks by ROA are INECOBANK - 2.08%, HSBC Bank Armenia - 1.82%, ArmSwissbank - 1.80%, ARARATBANK - 1.34%, and Prometey Bank - 1.22%.
Aggregate total capital of banks grew 5.8% for the 1st half of 2013, and 10.3% versus the same period of 2012, and 2.3% for Q2 2013 totaling 427.2bln drams ($1bln) as of July 1 13. Total assets grew 19.6% versus the first half of 2012, and 3.1% for Q2 2013 to 2.6 trillion drams ($6.4 bln) as of July 1. Aggregate retained profit totaled 20.6 bln drams for the 1st half of 2013 ($50.3 mln) with a 15.7% growth as compared to the 1st half of 2012 and a 48.8% growth for Q2 2013.
Top five banks by total capital as of July 1 2013 were ACBA-Credit Agricole Bank - 51.4 bln drams, HSBC Bank Armenia - 39.8 bln drams, Amerabank - 39.2 bln drams, Ardshininvestbank - 38.6 bln drams, and VTB Bank (Armenia) 33.4 bln drams. Top five banks by assets were Ameriabank - 366.4 bln drams, ACBA-Credit Agricole Bank - 260.9bln drams, VTB Bank (Armenia) - 259.9 bln drams, Ardshininvestbank - 233.5 bln drams, and HSBC Bank Armenia - 222 bln drams. Top five banks in terms of retained profit for the 1st half of 2013 are HSBC Bank Armenia - 4.1 bln drams, Ameriabank - 2.8 bln drams, ACBA-Credit Agricole Bank - 2.393 bln drams, INECOBANK - 2.353 bln drams, and Ardshininvestbank -2.1 bln drams.
It is noteworthy that Cascade Bank and Ameriabank merger process was completed in mid-June 2010 and the merged bank operates under brand Ameriabank. Starting Q4 2012 Anelik Bank's indicators have been brought exclusive of AnelikRU Moscow branch that was alienated in Dec 2012.
Active consumer lending causes double-digit growth in bad loans 
Luys Foundation: Armenian government continues to face challenges in budget planning
Armenia`s brandy and winemaking industry in crisis - economist 
Even at embryonic stage, powerful impetus given to economic activity in energy sector - ENA acting manager 
Armenian NA OKs ENA nationalization 
China preparing to open new chapter of One Belt, One Road initiative with involvement of Armenia - diplomat 
The Merger between "Ardshinbank" CJSC and "Ardshininvestbank" CJSC Has Been Completed
Ticket packets 1.2% of total number of transport tickets in Yerevan