EXTERNAL DEBT OF ARMENIAN COMMERCIAL BANKS, CREDIT INSTITUTIONS $555MLN IN 2008

Noyan Tapan
March 24, 2009

YEREVAN, March 24. /ARKA/. The external debt of the Armenian commercial
banks and credit institutions totaled $555mln last year.

According to the Review of the Central Bank of Armenia (CBA) for
the 4th quarter of 2008, the Armenian commercial banks and credit
institutions attracted a total of $573mln last year.

Last year, the Armenian commercial banks and credit institutions
spent a total of $380mln on serving their external debts.

As of the end of 2008, among the principal creditors of the Armenian
commercial banks and credit institutions were Russia (16.4% in the
total debt against 14.4% in 2007), France (9.4% against 3%), Latvia
(9.1% against 10.8%), Germany (7.5% against 6.2%).

Also, international organizations issued about 25.2% of the credits
last year.

The banks invested the attracted credits in the following sectors:
industry ($184mln), agriculture ($94), the financial sector ($85).

The weighted average interest rate on credits attracted by the Armenian
financial organizations was reduced down to 6.3% last year against.

Also, the credits with floating interest rates (LIBOR, EURIBOR, CBA
government bonds) constituted 57.9% of all the attracted credits,
the average repayment period being 3 years and eleven months. During
the period under review, short-term credits constituted 12.4% against
13.7% late in 2007.