Mon, 30 June
21.1 C
Yerevan
USD: 384.32 RUB: 4.89 EUR: 450.23 GEL: 141.11 GBP: 527.56

Forbes tells how banks in Armenia became part of relocated Russian nationals’ life

YEREVAN, March 24. /ARKA/. The Central Bank of Armenia told the Russian edition of Forbes magazine that non-resident individuals opened some 97,000 accounts in the country’s banks in 2022, up from about 10,000 such accounts at the beginning of the past year.

The volume of non-residents’ funds in these accounts and deposits increased from March to the end of the year by more than 70% to the equivalent of 1.3 trillion drams (about $3.7 billion), largely at the expense of demand deposits.

Almost immediately after the termination of Western payment systems in Russia, Russians began travelling to Armenia and Kazakhstan with the aim of opening accounts in their banks. This was dubbed as ‘card tourism’ and was handled by travel companies.

However, the influx of new clients from Russia for opening of accounts made banks in these countries “tighten the screws.”

In March 2022, one could become a client of an Armenian bank with just two or three documents: passport, certificate of employment and income statement. In May, some banks started introducing additional requirements. Anyone wishing to open an account must have been employed in Armenia or must have rented a house for at least six months.

Compliance tightening is not the only measure that the banks of neighboring countries had to undertake because of clients from Russia.

“Because of the strong influx of Russians, some lending institutions of Armenia had to use protective mechanisms. For example, they had to introduce high fees for cash withdrawal. If they didn’t do that, the country could have soon run out of cash dollars,” an Armenian bank official told Forbes. -0-

spot_img

POPULAR

US dollar exchange rate unchanged, euro and ruble rise

The average market exchange rate of the U.S. dollar to the Armenian dram on March 7, 2025, remained at 394.58 drams, unchanged compared to March 6.

ADB forecasts inflation in Armenia at 3% in 2025 and 2.8% in 2026

The Asian Development Bank (ADB) forecasts inflation in Armenia at 3% in 2025, said Don Lambert, Director of the Bank’s Resident Mission in Armenia.

Byblos Bank Armenia becomes CaseKey strategic partner

Byblos Bank Armenia has become the strategic partner of the CaseKey Business Case Competition, emphasizing the importance of continuous investment in promising educational programs.

EBRD’s investments in Armenia in 2024 reached record 400 million euros – Head of Finance Ministry

he European Bank for Reconstruction and Development's (EBRD) investments in Armenia in 2024 hit the record 400 million euros, Armenian Finance Minister Vahe Hovhannisyan said at a meeting with EBRD President Odile Renaud-Basso in London.

Russian president gives Yerevan-based Balchug Capital permission to buy Gazprom, Inter RAO, and LUKOIL shares from Goldman Sachs

Goldman Sachs International will be able to sell minority stakes in a number of Russian blue chips to Balchug Capital CJSC, the same company that received permission from Russian authorities to buy the local banking unit of the American financial group.

LATEST NEWS

spot_imgspot_imgspot_img