Overdue loans in Armenian banks decreased by 17.7% per annum by October 2017

ArmInfo. The volume of overdue loans in Armenian banks decreased by 17.7% year-on-year, with growth only in the third quarter by 10.2%, amounting to 1 October 2017 37.8 billion AMD. According to the CB of Armenia data, provided to ArmInfo by the National Statistical Service of Armenia, the volume of prolonged loans for the year increased by 18.3%, and for the III quarter - by 7.8%, making 125.3 billion AMD.

The share of prolonged and overdue loans by October 2017 is respectively, 5.02% (against 4.8% a year earlier and 4.7% a quarter earlier) and 1.52% (against 2.1% a year earlier and 1.39% a quarter earlier). Short-term loans dominate in extended loans, which account for 67.1% or 84.1 billion, while the remaining 32.9% or 41.2 billion is long-term loans. Long-term loans dominate in the portfolio of overdue loans - 64%, while short-term loans account for 36%, the absolute value of which was 24.3 bln and 13.5 billion AMD.

In total, the volume of bank lending reached by October 2017 2.495 trillion AMD, with an annual growth of 13.9%, with a quarterly growth of only 0.9%. Without taking into account the prolonged and overdue loans, the credit investments of the Armenian banking system increased by 14.4% on an annual basis, and by 0.4% on quarterly basis, to 2.331 trillion AMD. (The calculated exchange rate of the AMD to the USD as of 30.09.17 was 478.41 AMD/USD1).