Hovhannes Khachatryan presented his vision regarding the future  financial system of Armenia

ArmInfo. In the context of the next 10 years, the financial institutions of Armenia should be customer-oriented, be a standard of environmental and social  responsibility, and a good example of corporate governance. On July  15, Hovhannes Khachatryan, candidate for the post of Member of the  Board of the Central Bank of Armenia, stated this from the rostrum of  the National Assembly.

In this regard, he emphasized that in order to achieve such a level,  favorable conditions are being created by global financial  institutions, in particular through green lending programs and the  introduction of mechanisms to increase social and environmental  responsibility. At the same time, Khachatryan noted that the role of  the Central Bank lies solely in regulating the field and creating  favorable conditions. A candidate for the Central Bank Board said  that working in a commercial bank, he noted how important  macrostability is for those who make economic decisions. <I saw how  the use of any instruments of the Central Bank practically affects  banks, and how the signals from the Regulator are perceived by  economic entities. In my work, I will do my best to ensure that the  Central Bank understands the internal mechanisms and logic of  financial organizations, thereby contributing to the Central Bank's  activities becoming more targeted>, he said.

In his speech, Khachatryan noted that the overly significant role of  the banking system may cause some concern, since the ratio of loans  to GDP is 52%, and total assets - over 90%. But on the other hand, he  noted that the banking system also provided the prevailing share of  investments in the Armenian economy.  In total, the candidate for the  Board of Central Bank member assessed the financial system of Armenia  as strictly competitive. In this regard, he said that in the economy  the financial sector occupies a significant place, in particular,  financial services account for 5.9% of the GDP, more than 20 thousand  citizens work in the financial sector, as a rule, all are included in  the list of large taxpayers banks and financial organizations.

At the same time, he noted that this fierce competition could lead to  a decrease in bank lending standards.  One of the negative  consequences of this process may be over-lending, not only of  individuals, but also of business. In this regard, Khachatryan  emphasized that there is no other alternative than the introduction  of responsible lending mechanisms.

<And in this crisis, the weak part is the social part - thousands of  over-loaned households. About 27% of consumer loans represent a  challenge not only for the financial system, but also in terms of  consumption.  According to this indicator, Armenia is not in the best  position in the region>, Khachatryan said, noting that the  introduction of the institution of responsible lending can reduce the  availability of credit, and did not exclude the transfer of client  groups from organized markets to shadow markets. "But this is a  matter of legal regulation," the candidate emphasized.

At the same time, he raised the issue of the absence of Armenian  financial organizations on the global map.  In this vein, he noted  that the Central Bank and the Ministry of Finance of Armenia will  have to work towards increasing the sovereign rating of Armenia. At  the same time, he emphasized the importance of technological  re-equipment of the banks of Armenia.  In conclusion, Khachatryan  expressed confidence that Armenia will emerge from the current crisis  more mature, with new impulses and ideas, and the financial system  will have a constructive role in this process.  It should be noted  that the candidacy of Hovhannes Khachatryan was nominated by the  ruling party My Step. Currently, Khachatryan holds the position of  Head, Asset and Liability Management at Ameriabank CJSC.

The Board of the Central Bank consists of the Chairman of the Central  Bank, two of his deputies, five members of the Board. The five  members of the Board of the Central Bank are elected by the National  Assembly of the Republic of Armenia for a term of six years.