In 2016 Armenian banks paid 34.4 bln AMD in taxes, with a 16.9% year-over-year decline

ArmInfo. In 2016, the  banking system of Armenia paid 34.4 bln AMD in taxes, 16.9% less than  in 2015. Over 88% or 30.1 bln AMD of this amount was paid in direct  taxes (including profit tax and income tax), with a 19.1% decline  versus 2015. According to the State Revenue Committee of Armenia, 12  out of the functioning 17 banks (versus 13 in 2015) were among the  top 100 taxpayers of Armenia in 2016. The top banks among the  taxpayers were Ameriabank, VTB Bank (Armenia), ACBA-Credit Agricole  Bank, Ardshinbank and INECOBANK, which paid 16.7 bln AMD in taxes  (down 22.3% versus 2015), including 15.1 bln AMD in direct taxes  (down 22.2% versus 2015).

Ameriabank was the 25th (15th position a year before) on the list of  top 100 taxpayers. The bank paid 4 bln AMD in taxes, including 3.8  bln AMD in direct taxes (profit tax and income tax inclusive). VTB  Bank (Armenia) held the 29th position (24th position a year before)  by paying 3.4 bln AMD, including 2.9 bln AMD in direct taxes.  ACBA-Credit Agricole Bank was the 31st (versus 38th position a year  before) - 3.3 bln AMD, including 2.9 bln AMD in direct taxes.  Ardshinbank was the 39th (versus 25th position a year before) - 3 bln  AMD, including 2.8 bln AMD in direct taxes. INECOBANK held the 43rd  position (versus 53rd position a year before) - 2.8 bln AMD,  including 2.6 bln AMD in direct taxes. 

The top 100 taxpayers also included Armbusinessbank (45th position -  2.7 bln AMD, including 2.4 bln AMD in direct taxes), Unibank (49th  position - 2.6 bln AMD, including 2.1 bln AMD in direct taxes), HSBC  Bank Armenia (68th position - 1.8 bln AMD, including 1.6 bln AMD in  direct taxes), Converse Bank (74th position - 1.6 bln AMD, including  1.4 bln AMD in direct taxes), Anelik Bank (82nd position - over 1.5  bln AMD, including 1.2 bln AMD in direct taxes), and Armeconombank  (83rd position - 1.5 bln AMD, including 1.3 bln AMD in direct taxes).

The top 200 taxpayers of Armenia also comprised Areximbank - 106th  position (1.2 bln AMD, including 1 bln AMD in direct taxes),  Araratbank - 128th position (1 bln AMD, including 890.7 mln in direct  taxes), Armswissbank - 143rd position (861.1 mln AMD, including 827.2  mln AMD in direct taxes), Armenian Development Bank - 172nd position  (738.9 mln AMD, including 694.3 mln AMD in direct taxes), and  Prometey Bank - 190th position (666.2 mln AMD, including 604.5 mln  AMD in direct taxes). 

The top 1000 taxpayers of Armenia also comprised Mellat Bank - 266th  position (470.3 mln AMD, including 452.9 mln AMD in direct taxes),  Byblos Bank Armenia - 289th position (431.2 mln AMD, including 316.3  mln in direct taxes), and Artsakhbank - 456th position (200.2 mln  AMD, including 194.2 mln AMD in direct taxes). 

According to the Financial Rating of Armenian Banks by the Agency of  Rating Marketing Information (ArmInfo), in 2016 the aggregate  accumulated profit of the Armenian banking system amounted to 162.1  bln AMD (up 4.1% versus 2015). The top five banks in terms of  accumulated profit were Ardshinbank - 29.9 bln AMD, HSBC Bank Armenia  - 28.6 bln AMD, Ameriabank - 24.3 bln AMD, ACBA-Credit Agricole Bank  - 16.3 bln AMD, INECOBANK - 15.5 bln AMD. In 2016, the pretax profit  of the banking system was 24.6 bln AMD (down 25.4% versus 2015), and  the net profit totaled 18.3 bln AMD (down 29.9% versus 2015). In Q4  2016, the net profit of the banking system dropped by 82.1% to 940.3  mln AMD. (On 31 Dec 2016, the average AMD/USD exchange rate was  483.94 AMD/$1).

To note, in late 2015 ProCredit Bank and BTA Bank merged with  INECOBANK and Armeconombank respectively. A year later, in December  2016 Areximbank-Gazprombank Group and Armenian Development Bank  merged with Ardshinbank and Araratbank respectively. As a result, now  there are 17 banks in Armenia. As of January 1, 2017, unlike  Ardshinbank, the financial reports of INECOBANK, Armeconombank and  Araratbank have already been published in a merged form. The  consolidation of the banking sector of Armenia was dictated by the  need to meet the Central Bank's minimum total capital standard (30  bln AMD), which came into effect on 1 Jan 2017.