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.