YEREVAN, June 15. /ARKA/. Araratbank will not pay dividends to shareholders for 2017. This decision was unanimously adopted at the annual meeting of shareholders today. The last time the bank paid dividends to shareholders was in 2013.
Araratbank board chairman Ashot Osipyan said the net profit of the bank in 2017 in the amount of 2.004 billion drams (an increase of 84.1% compared to 2016) will be channeled into replenishment of capital.
He said the bank is introducing the” Basel-3 “standard, which means that it needs additional capital to ensure new safety cushions and growth.
He noted also that the past year was quite productive and successful for the bank, which acquired the Armenian Development Bank and began introduction of investment and digital banking.
He said this year the bank will work to increase the ratio of loans to assets from the current 50% to 70%, through active financing of small and medium-sized businesses, as well as introduce new mortgage lending products and finance international trade.
Among the priorities for 2018, Osipyan also noted the increase in non-interest income due to the growth in the volume of money transfers, utility payments, the sale of insurance policies, the delivery of government services and the introduction of scoring services.
In late 2017 the assets of Araratbank stood at 212.6 billion drams (an increase of 42.4%), liabilities – at 177.3 billion drams (52.8% growth) and capital at 35.2 billion drams (6.1% growth).
Araratbank, established in 1991 is owned by Flash oil trader (72.73%), EBRD (18.33 %%) and RURAL IMPULSE FUND II SA SICAV SIF -8.58%. ($ 1- 482.73 drams). -0-
