YEREVAN, September 14. /ARKA/. Armenia’s financial agenda last week focused primarily on the capital market, the banking sector, government borrowing, and the development of payment infrastructure.
1. Banking sector: loans approach 8.9 trillion drams, deposits exceed 8.28 trillion drams
The volume of loans from commercial banks in Armenia at the end of July 2026 amounted to 8.899 trillion drams, compared to 8.775 trillion drams the previous month, according to official statistics. The volume of bank deposits over the same period increased from 8.071 trillion to 8.290 trillion drams. Thus, the loan portfolio grew by approximately 1.4%, and the volume of deposits by 2.7% over the month.
For banks, the current dynamics may mean an increase in their resource base along with an expansion of lending operations. 2. Stock Market: Capitalization Exceeded AMD 356 Billion in August
Armenia’s stock market capitalization exceeded AMD 356.2 billion in August 2026. According to the Armenia Stock Exchange, stock trading volume exceeded AMD 153.4 million, with 288 transactions concluded. At the same time, corporate bond trading volume increased by 72% compared to August last year, exceeding AMD 10.5 billion. At the end of the month, 221 corporate bonds were traded on the exchange, and the total volume of repo transactions exceeded AMD 22.8 billion.
For the market, these figures may indicate continued activity, primarily in the debt segment, while the equity market remains significantly lower in terms of trading volume. 3. Foreign Exchange Market: Key Exchange Rates Fluctuated Within a Narrow Range
According to the Central Bank of Armenia, the average dollar-to-dram exchange rate fell from 363.7 drams on September 7 to 363.28 drams on September 11. During the same period, the euro exchange rate fell from 422.76 drams to 421.11 drams, while the Russian ruble exchange rate rose from 4.2027 drams to 4.2971 drams.
For banks, importers, and companies with foreign currency liabilities, this regime may mean relatively stable conditions for current settlements and the revaluation of currency positions.
4. Bond Market: New Issues by the EBRD and Cube Invest
EBRD bonds with a total nominal value of 5 billion drams were listed on the Armenia Securities Exchange on September 8 and included in the Abond main list. Five hundred bonds with a nominal value of 10 million drams each, a floating coupon rate, and a maturity of 36 months have been admitted to trading.
On September 11, it was announced that investment company Cube Invest had begun placing its own bond issue worth 5 billion drams with a maturity of 36 months. A fixed rate of 10.5% applies for the first six months, after which the coupon is determined by the Central Bank of Armenia’s refinancing rate plus 4 percentage points.
For the domestic market, both issues could expand the supply of dram-denominated debt instruments with various types of issuers and yield mechanisms.
5. Payments: Authorities Raise Issue of Reducing POS Transaction Fees
Armenian Deputy Prime Minister Mher Grigoryan, at a meeting with a Visa delegation on September 8, proposed discussing a reduction in fees for cashless payments via POS terminals in conjunction with the payment system’s partner banks.
For banks, merchants, and clients, the issue of fee levels is directly related to the cost of payment infrastructure and the economics of cashless transactions.
6. Investment Companies: Assets Exceed 400 Billion AMD
The assets of Armenian investment companies have grown approximately sixfold since 2021, from 67 billion AMD to over 400 billion AMD, Dimension Investments CEO Grigor Harutyunyan announced at the “INVESTMENT PERSPECTIVES 2026” forum on September 11. The number of investment companies increased from 14 to 27, and their equity capital grew from 12 billion to approximately 130 billion AMD. For the financial market, this could mean an increased role for the non-banking segment and the number of professional participants through which companies and investors gain access to capital market instruments.
7. Capital Market Structure: Bank Financing Remains Dominant
In a partner interview with ARKA, Gor Gevorgyan, CEO of Landmark Capital, identified insufficient liquidity as one of the main constraints on the development of the Armenian capital market. According to him, financing of the economy continues to be primarily provided through bank loans, while alternative capital raising mechanisms are being used to a lesser extent.
Among such instruments, he identified corporate bonds, equity financing, private financing, structured products, and the IPO market. However, he attributes the provision of liquidity primarily to the role of professional participants—banks and investment companies—rather than retail investors.
For the market, this could mean that the further expansion of non-bank financing depends not only on the number of investors and issuers, but also on the depth of the secondary market and the availability of liquid instruments. 8. Public Debt: Volume Decreased to AMD 5.12 Trillion in the First Half
Armenia’s public debt as of June 30, 2026, stood at AMD 5.12 trillion, down from AMD 5.30 trillion at the end of 2025, RA Finance Minister Vahe Hovhannisyan announced on September 9. In dram terms, the figure decreased by 3.5% over the first half of the year, while in dollar terms it remained virtually unchanged at $13.9 billion.
For the financial market, this could mean the government’s continued presence in the domestic debt market, while raising new funds at a more moderate pace.
9. Government Bonds: AMX Auction Volume Reached Approximately AMD 38 Billion
On September 9, the Armenia Securities Exchange held a government bond auction worth AMD 35 billion and exchange auctions worth over AMD 2.9 billion. The total transaction volume amounted to approximately 38 billion drams.
For banks, investment companies, and institutional investors, auctions can provide access to government debt instruments while simultaneously setting yield benchmarks for other segments of the dram bond market.
Weekly Summary
Last week, the Armenian financial market published new data on the banking sector and exchange trading, hosted debt instrument placements and auctions, and heard statements from government officials and market participants on payment infrastructure and capital market development.
