Armenian Banking System’s Net Profit Grows Almost Twice In 1st Q 2011

YEREVAN, May 2. /ARKA/. Armenian banking system’s net profit exceeded AMD 8.1 billion in the first quarter of this year against AMD 4.2 billion in the first quarter of the previous year – 91.4% year-on-year growth, the Central Bank of Armenia says in its quarterly review of banks’ activities.

Banks’ profits before taxation amounted to AMD 10.1 billion in the 1st Q 2011 against AMD 5.4 billion in the 1st Q 2010.

Armenian banks’ interest income amounted to AMD 38.7 billion and interest expenses AMD 17.3 billion.

Non-interest income amounted to AMD 10.3 billion and non-interest expenses AMD 18.1 billion.

As a result, net interest income totaled AMD 21.4 billion in the 1st Q 2011 against AMD 17.3 billion in the 1st Q 2010, and net non-interest income was minus AMD 7.8 billion against minus AMD 7.3 billion.

Banks transferred AMD 18 billion to the reserve on possible losses and returned AMD 14.5 billion from it.

As a result, net pays amounted to AMD 3.5 billion in the 1st Q 2011 against AMD 4.6 billion in the 1st Q 2010.

Banks’ undistributed accumulated balance profits totaled AMD 63.5 billion in late March.

According to ARKA News Agency’s data based on banks’ quarterly reports, HSBC Bank Armenia was the largest profit-gainer among Armenian banks in the first quarter of this year (AMD 1.6 billion).

VTB Bank (Armenia), with its AMD 1.3 billion, was the second biggest profit-gainer.

Mellat Bank, with AMD 1.26 billion, came third, ACBA-Credit Agricole Bank, with 1.2 billion, ranked fourth and Ardshininvestbank (AMD 910.3 million) fifth.

Three banks ended the quarter with losses.

Some 21 banks with their 411 branches functioned in Armenia in late March. ($1 = AMD 370.68).—0–

spot_img

POPULAR

Armbanks Weekly Digest: Key Events in Armenia’s Financial Market (July 27–31)

Armenia's financial agenda last week was determined by banking sector data, rating decisions, inflation and public debt forecasts, exchange rate dynamics, personnel changes at Byblos Bank Armenia, and expert assessments of the possible impact of restrictions on goods supplies to Russia.

Armenia to prepare action plan to implement MONEYVAL recommendations — Union of Banks

Armenia's interdepartmental commission will soon present for discussion an action plan to implement MONEYVAL recommendations, said Daniel Azatyan, Chairman of the Union of Banks of Armenia, in response to a question from ARKA news agency.

Central Bank: Armenia’s current public debt level is not a cause for concern

The current level of Armenia's public debt is not a cause for concern, stated Deputy Governor of the Central Bank of Armenia Hovhannes Khachatryan.

4.5% Inflation Recorded in Armenia in July

Twelve-month inflation in the Armenian consumer market in July of this year was 4.5%, according to a report from the Statistical Committee.

Central Bank of Armenia explained its decision to keep the interest rate unchanged

The Central Bank of Armenia kept the interest rate unchanged because it has not yet seen any deviation in inflation expectations from the target level, stated Deputy Chairman of the Central Bank Hovhannes Khachatryan.

LATEST NEWS

spot_imgspot_imgspot_img