Tue, 12 August
28.1 C
Yerevan
USD: 384.03 RUB: 4.80 EUR: 443.29 GEL: 142.29 GBP: 510.11

Consolidation of Armenian commercial banks’ capital is adequate economic process – economist

YEREVAN, September 24. /ARKA/. Consolidation of Armenian commercial banks’ capital is within the frames of normal economic processes and contains no risk, Tatul Manaseryan, an economist and the head of Alternative Research Center, said at a news conference on Wednesday.

«I take consolidation of banks normally and I don’t share fears that many bank employees will lost their jobs creating a social problem,» he said. «Consolidation of banks may drive demand for skilled specialists up.»

In his words, the consolidation process was seen yet before the required minimum size of banks’ total capital was increased – many banks were already merging.

The economist considers the emission of stocks by several banks for capital replenishment as a new business culture in Armenia and thinks this is one of options to those who have to build up their capital.
«Economy can’t be harmed by that, and those who have large capital are able to implement large projects,» he said.

Manaseryan finds the central bank’s policy properly balanced. He said even rich countries couldn’t avoid devaluation of their national currencies and faced major financial problems, while Armenia’s banking sector retained stability.

He said some banks don’t run the risk and are rather anxious to have their lent money returned. Others extend loans secured by immovable property.

However, certain business programs can secure loans, but nothing like this is in practice in Armenia’s banking sector.

«In my opinion, time has come to think about integration of banks with the real sector, and stability should remain the top-priority goal,» Manaseryan said.

The Centarl Bank of Armenia has obliged the country’s commercial banks to have by January 1, 2017 at least AMD 30-billion capital instead of the present AMD 5 billion. –0–

spot_img

POPULAR

Armenia registered an inflation rate of 3.4% in July.

According to the National Statistical Committee (NSC) of Armenia, 12-month inflation in the consumer market amounted to 3.4% in July of this year.

Market capitalization in July increased by 45.3% year-on-year, exceeding 463 billion drams – Armenia Stock Exchange

Armenia Stock Exchange (AMX) has summarized the trading activity for July 2025. The month showed a dynamic trading environment, highlighting growing investor confidence and market activity. 

Armenian Central Bank  developing mechanisms for insurance and combating financial fraud

Armenia's Central Bank is developing a set of tools to combat financial and cyber fraud, the deputy chairman of the Central Bank Armen Nurbekyan said at a press conference on Tuesday.

Net inflow of money transfers to Armenia from abroad decreased by 1.3% in half-year

The net inflow of cross-border transfers in favor of individuals in Armenia, received from abroad through the banking system of the Republic of Armenia, in January-June 2025 amounted to $587.6 million against $595.4 million in January-June 2024, according to the report of the Central Bank of the Republic.

Deputy Prime Minister discusses cooperation prospects with new head of WB Armenia office

Armenian Deputy Prime Minister Tigran Khachatryan received World Bank Regional Director for the South Caucasus Rolande Pryce and newly appointed head of the WB Armenia office Fabrizio Zarcone, the government press service reported.

LATEST NEWS

spot_imgspot_imgspot_img