Aggregate Loan Portfolio of Armenian Banks Decreasing by 4.1% in Q1 2015

As of April 1, 2015 aggregate loan portfolio of Armenian banks decreased by 4.1% totaling 2.62 trillion AMD in Q1 2015. The banks increased lending investments by 13.8% as compared to the same period of 2014.  Exclusive of extended and overdue loans, total provision of crediting amounted to 1.894 trillion drams. 

 

According to the preliminary data of the Central Bank of Armenia, the share of loans in terms of the national currency (exclusive of extended and overdue loans) was 33,4% or 632.1 billion drams (down 

5.1% for Q1 and 0,6%  y-o-y). Foreign exchange loans totaled 66,6% or 1.262 billion drams (down 5% for Q1 and 20.4% up y-o-y).

 

In the structure of extended loans the ratio totaled 6.3% or 130.8 bln drams. In Q1 the volume of extended loans increased by 6.1% and 29.5% y-o-y. In the reported period the share of extended loans in the aggregate portfolio increased by 0.4 percentage points and 0.6 pp y-o-y. 

 

As of April 1, 2015 the overdue loans ratio totaled 1.2% or 37.1 bln AMD. In Q1 the volume of overdue loans increased by 13.8% and 43.3% y-o-y. In the reported period the share of overdue loans in the 

aggregate portfolio decreased by 0.3 percentage points and 0.2 pp y-o-y.  .

 

In the structure of extended loans, the share of short-term loans totaled 39.2% or 21.3 bln AMD and 60.8% or 79.6 bln AMD for the share of long-term loans. 

 

In the overdue loans portfolio, the share of short-term loans was 67.6% or 25 bln AMD and 32.4% or 12 bln AMD for long-term credits.  

 

According to the source in Q1 the interest rates for the loans in terms of the national dram raised by 2.8 pp and comparing to the same period in 2014 - 2.4 pp to 19.11% in average. (The exchange rate for Mar 31 2015 was 471,13 AMD/1 USD).