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Borrowers in Armenia increasingly showing favor to national currency

YEREVAN, September 27. /ARKA/. Yuri Gusev, acting CEO of VTB Bank (Armenia) and the chairman of the bank’s directorial board, speaking Thursday at a televised conference involving representatives of VTB Group’s subsidiaries in Armenia, Kazakhstan and Ukraine, said that the population in Armenia has a feeling of another pending global economic crisis which prompts them to shift to their national currency when borrowing money from local banks.

Mikhail Zadornov, VTB24 bank president and chairman of the bank’s board, who spoke at the same teleconference, answering ARKA News Agency’s question, said that VTB Group aims to lending money exactly in national currencies.

“Only this shapes a healthy balance and a healthy business and also shields our retail clients and banks from interest and credit risks,” he said. “We don’t rule out lending in foreign currencies completely, unless it is banned by the law, as is the case in Ukraine, however, we would like lending in foreign currency to drop to an insignificant portion of the overall lending.

VTB Bank Armenia joined VTB Group in April 2004. VTB, the second largest bank of Russia, holds 100% of shares of VTB Bank (Armenia). VTB Bank (Armenia) has 69 branches all over Armenia’s territory – the largest branch network in the country. VTB Bank (Armenia) is traditionally reckoned among leaders for general indicators. -0—

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