Friday, April 20 2012 19:22
Improvement of legislative base of leasing services development in Armenia to provide enterprises with access to modernization of fixed assets
ArmInfo. A solution to the legislative problems connected with development of the market of leasing services in Armenia will provide the country's companies and industrial enterprises with an additional wide access to re-equipment and modernization of fixed assets, Acting Director General - Chairman of Directorate of VTB Bank (Armenia) Yuri Gusev told ArmInfo. He said that finding a solution to the problem is like a two-direction movement, and the banking community of Armenia should help the economic authorities of the country to explore this issue.
He recalled that in early 2010 VTB Bank (Armenia) gave up leasing as a separate direction of business for optimization purposes, however, the course of development of corporate business contains a number of serious programs, including projects on financing agrarian business: agricultural processing, development of glass-grown entities, as well as a program on lending to the small energy sector.
"We are a universal bank. In 2012 our work will be based on both retail development and corporate business. Given the macroeconomic indices and our forecasts about the economic growth, our corporate portfolio has more modest figures", he said. He added that the leasing services will also be activated: "We have a relevant business plan and I hope that this year we'll be able to considerably develop this direction".
According to the experts of AmRating, today the key obstacle to development of leasing in Armenia is the lack of legislative practice of accelerated amortization of fixed assets and the problem of imposition of the value-added tax on the leased property. The experts of the Agency say that the total volume of leasing operations of the commercial banks was 8.5 bln AMD in 2011, or 0.7% of the total credit portfolio. In the meantime, three leasing companies are operating in the market of credit companies of Armenia. The amount of their leasing operations totaled 6.5 bln AMD in 2011, with 6.1 bln AMD demonstrated by ACBA Leasing, the leader in the market.
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