Banks provide 10,753 loans for AMD24.6bln under GAF program in 2006

Arka News Agency, Armenia
Feb 16 2007

ARMENIAN BANKS PROVIDE 10,753 LOANS FOR AMD 24.6BLN UNDER GAF PROGRAM
IN 2006

YEREVAN. February 16. /ARKA/. Authorized Armenian banks provided
10,753 loans for crediting small and medium size enterprises for AMD
24,634.4mln (EUR 42,599) under the German Armenian Fund (GAF) program
in 2006. In 2005, the number of loans provided was 11,633 for amd
30,326.7mln (EUR 53,168.3ths). According to the Fund’s report, the
number of loans provided to the Armenian private business was 7.56%
lower than the level of 2005, and 18.77% lower (in AMD, and 19.9% in
EUR) in terms of the amount.
In December 2006, under the GAF program the banks provided 1368 loans
for AMD 2,411.3mln (EUR 5,036.8ths) against 889 loans for AMD
2,807.3mln in December 2005. Of the total number of loans provided in
December, those for the sector of commerce amounted to 35.3% – 483
loans for a total of EUR 2,233.9ths (44.35% of the total amount). The
production’s share amounted to 2.63% of the total number of loans,
that is 36 loans for EUR 542.8ths or 10.78% of the total amount of
loans provided in December.
The service sector received 27.4% of the total number of loans – 375
loans for EUR 1,497ths (29.7%). The agricultural sector was provided
with 472 loans (34.5%) for EUR 674.7ths (13.4%), and the construction
sector received two loans for EUR 88.4ths.
The geography of the loan provision in December looks in the
following way. In Yerevan, 303 loans for EUR 1,882.8ths were
provided, that is 37% of the total amount of loans provided in
December 2006. In Echmiadzin 111 loans for EUR 682.3ths were
provided, that is 14% of the total amount of loans provided in
December 2006.
Artashat received 498 loans for EUR 654.5ths or 13% of the total
amount, Abovyan received 115 loans for EUR 542.6ths or 11%. Vanadzor
received 52 loans for EUR 236.5ths or 5%. In Syunik 42 loans for EUR
226ths or 4% were provided, in Gavar – 81 loans for EUR 222ths or 4%,
in Gyumri – 82 loans for EUR 175.9ths, in Yeghegnadzor – 22 loans for
EUR 145.7ths, in Ashtarak – 37 loans for EUR 139.6ths, and in Tavush
– 25 loans for EUR 128.7ths.
Over the period of GAF activity in Armenia (since May 1999) 41,423
loans for a total of AMD 116,989mln have been provided, and the total
credit portfolio made up AMD 20,393.4mln or EUR 42,599ths as of
January 2007.
GAF was founded in 1998 under the Armenian-German intergovernmental
agreement on financial cooperation in support of small business in
Armenia. Five banks operate within the Fund: ACBA Credit Agricole,
Anelik Bank, Armeconombank, Converse Bank, and Inecobank. ($1 – AMD
357.17). R.O. -0–
From: Baghdasarian