VTB BANK (ARMENIA) REDUCES FOREIGN CURRENCY DEPOSITS RATES

ArmInfo
2010-05-19 16:57:00

ArmInfo. The total dram credit portfolio of VTB Bank (Armenia) has
grown by 5% according to the results of the 1Q 2010. As the bank
assessed, the process of the demand activation for the dram credits
will continue, press-service of VTB Bank (Armenia) reported. Certain
passiveness of the demand for the foreign currency credits has
been noticed, which may be connected with reduction of rates at the
world market and oversupply of liquidity. The leadership of VTB Bank
(Armenia) has adopted a decision along with reduction of the interest
rates for the corporative credit products in foreign currency, to
reduce the rates for foreign currency deposits by average 2%, ruling
out small deposits of individual persons in an amount proportional
to less than 1 mln drams.

To note, over Q1 2010 VTB Bank (Armenia) increased the amount of
assets by 19% to 126 bln AMD by 1 April 2010 as compared with Q1 2009.

In the structure of assets the share of credit portfolio made up 58%,
or 73 bln AMD (0,3% quarterly growth). In the credit portfolio of the
bank the volume of crediting individuals grew by 16,6% to 26.7 bln
AMD. In particular, the lion’s share of loans for individuals fell
on consumer credits – 68,2%, or 18.2 bln AMD (almost 36% growth since
the beginning of 2010), excluding mortgage credits, the portfolio of
which amounted to 8.5 bln AMD as of the end of Q1 2010. In the credit
portfolio of VTB Bank (Armenia) the share of loans for large business
made up almost 37% – 27 bln AMD, and the loans for small and medium
business – about 27% – 19.6 bln AMD. To recall, the sole owner of
VTB Bank (Armenia) CJSC is VTB Bank (Russia).