Armenian banks maintain capital and liquidity buffers, dollarization declines – Fitch

YEREVAN, January 18. /ARKA/. Armenian banks maintain strong capital and liquidity buffers, and profitability remains high despite the normalization of extraordinary financial inflows from Russia, according to a report by the international rating agency Fitch Ratings.

“Dollarization continues to gradually decline: deposit dollarization decreased to approximately 43.3% in November 2025, supported by regulatory measures and increased confidence in the dram,” the study notes.

According to ARKA news agency’s ranking based on Armenian bank reports, the net profit of the Armenian banking system in the third quarter of 2025 amounted to 107.2 billion drams, an increase of 15.57% compared to the same quarter of 2024. The total assets of all 17 Armenian banks as of September 30, 2025, amounted to AMD 11.97 trillion (a 20.15% increase compared to the same quarter of 2024), liabilities amounted to AMD 9.94 trillion (a 20.09% increase), and total capital amounted to AMD 2.03 trillion (a 20.44% increase). ($1 = AMD 381.55)

According to the Central Bank of Armenia (CBA) data as of early December 2025, the dollarization rate in Armenia has dropped to its lowest level in recent months: in October 2025, the dollarization rate, measured as the ratio of resident dollar deposits to total resident deposits, was 34.2%. According to data available on the CBA website, the dollarization rate has been demonstrating a steady downward trend since March 2023, when it stood at 43.7%. ($1 – 379.99 drams)

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