Overdue loans at Armenian banks increase by 8.7% to €67.9mn in Dec

By bne IntelliNews February 15, 2016

The amount of overdue loans issued by Armenia's commercial banks increased by 8.7% m/m in December to AMD37.8bn (€67.9mn), according to the country's National Statistical Service (NSS). Short-term overdue loans declined by 13.4% m/m to AMD21.3bn (€38.2mn), while long-term overdue loans increased by 63.3% to AMD16.5bn (€29.6mn) during the same period. Meanwhile, total lending in Armenia's banking sector increased by 1.7% m/m to AMD1.9tn (€3.48bn) in December.  

The ratio of non-performing loans in Armenia increased throughout 2015,and is believed to have been caused by a drop in remittances from abroad and in trade. Up to 2mn ethnic Armenians are estimated to live and work in Russia, and their remittances are a vital source of income. However, the depreciation of the Russian ruble and the economic decline in Russia have led limited employment opportunities for migrant works and depressed remittances migrant workers sent home, including to Armenia.

Read in IntelliNews Pro
Get IntelliNews Pro

Related Articles

Armenia, Azerbaijan and Georgia enjoying Persian new year influx of Iranians

Armenia, Azerbaijan and Georgia are enjoying a welcome injection of revenues from the annual influx of Iranians enjoying their long Nowruz Persian new year holiday. Anecdotal evidence indicates ... more

Iran could join Moscow-led EEU by May says Russian minister

Russia’s Energy Minister Aleksander Novak has said Iran could join the Eurasian Economic Union (EEU) by May, RT reported on March 10. Tehran has repeatedly lobbied Moscow over the past year to ... more

Armenian energy minister says renewables, nuclear power to replace Russian gas

The Armenian government will continue with its efforts to reduce the share of Russian gas in the country's electricity mix, Energy Minister Ashot Maukyan said on January 31, according to the local ... more

Most Read

  1. Turkey’s Erdogan warns “nobody can discipline us with exchange rates”
    7 days ago
  2. Leaked document shows EU’s initially hardline approach to Gazprom
    7 days ago
  3. What’s the cost of US sanctions on Russia?
    2 days ago
  4. Putin and Trump trying to walk back Syria strike and sanctions tensions
    1 day ago
  5. Macedonia defies illiberal trend in otherwise gloomy Freedom House report
    7 days ago
  1. Fears raised of US conditioning F-35s sale on Turkey cancelling S-400 deal with Russia
    22 days ago
  2. Macedonia’s opposition VMRO-DPMNE plans major protests to force snap election
    1 month ago
  3. COMMENT: Whisper it – ‘Erdonomics’ could be driving Turkey to a meltdown
    10 days ago
  4. KRUK REPORT: Nadia Savchenko, Ukraine’s fallen hero
    27 days ago
  5. Turkey’s Erdogan warns “nobody can discipline us with exchange rates”
    7 days ago

Selected articles from our premium news/views wire IntelliNews Pro

Login to IntelliNews Pro
Get IntelliNews Pro

Reports

Dismiss