Combined outstanding credit portfolio of Armenian banks grows by 7.3% in the first quarter of 2011

YEREVAN, May 3. / ARKA /. The combined outstanding credit portfolio of Armenian banks, including deposits, factoring and leasing deals, grew by 7.3% in the first quarter of 2011 or by 69.5 billion Drams to a total of 1.025 trillion drams, the Central Bank of Armenia said in a report that examines the performance of local banks in the first three months of this year.

According to the report, lending to transport and communications sector increased by 17.9% or by 4.6 billion drams to a total of 30.2 billion Drams. Loans extended to agricultural segment rose by 9.4% or 4.9 billion drams to overall 57.3 billion drams and consumer loans increased by 8.8% or about 14.4 billion drams to 178.1 billion drams.

Lending to other segments was said to have risen by 14.3% or 13.3 billion drams to a total of 105.8 billion drams. Lending to industrial sector grew by 8.5% to 221.2 billion drams. Trading loans also increased by 8.2% or 15.2 billion drams to 200.1 billion drams.

Lending to construction sector rose by 5.3% or 3.9 billion drams to 78.8 billion drams. Mortgage lending was said to have also seen a growth of 2.9% rising to 90.6 billion drams and only financial sector’s lending contracted by 9.6% to 63.3 billion drams.

Industrial sector accounted for 21.6% of the overall lending, trade for 19.5%, consumer credits for 17.4% and lending to other sectors accounted for 10.3% of the combined outstanding credit portfolio of Armenian banks in the first quarter of 2011.

According to an analysis made by ARKA news agency, ACBA Credit Agricole Bank had the largest outstanding credit portfolio of 109.3 billion drams, Ameriabank was second with 103.3 billion drams, Bank VTB (Armenia) was third with 96.4 billion drams. There are 21 banks in Armenia which operate 441 branches across the country. ($1 – 370,68 drams). -0-

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