High Profitability and 100% Credit Refundability to Urge the Armenia

HIGH PROFITABILITY AND 100% CREDIT REFUNDABILITY TO URGE THE ARMENIAN
BANKS TO AGGRESSIVE CREDIT POLICY

Yerevan, July 31. ArmInfo. High profitability and 100% credit
refundability to urge the Armenian banks to aggressive credit policy
and to promoting the economic progress in Armenia, said on the 9-th
meeting of the Armenian Bankers’ Union Tigran Sarkisian, head of
the Central Bank. According to the banker, Moody’s Ba2 rating allows
Armenia to obtain investment rating. Due to that Armenian banks will
be able to attract international capital to Armenia for longer terms.
He said that at present only 3 banks are involved in that activity
and are expecting to receive their credit rating in September.

Tigran Sarkisian also noted that the rating given to Armenia is
a positive indicator. He said that Armenia is on one level with
Azerbaijan, has 1 point advantage of Turkey and 2 of Georgia.
Armenia’s rating allows the government to issue obligations and
distribute them on the international market. Mr. Sarkisian said
that according to Moody’s new policy, each bank can also have its
individual rating.

Finance and Economy Minister Vardan Khachatrian in his return noted
that in the nearest few years the Government of Armenia will not
issue obligations. He also added that Armenia’s rating by Moody’s
is one point higher that the rating by Fitch Ratings. He explained
that Fitch Ratings overestimated the finance risk connected with
the Nagorno-Karabakh conflict. As a negative factor of the Armenian
economy, pointed out by Moody’s, the Minister named the high rate
of dollarization.