ArmInfo.The banking system in Armenia is highly competitive, and demand for a particular product is high, its cost cannot decrease. This was stated by Daniel Azatyan, the Chairman of the Union of Banks of Armenia (UBA), during a conversation with journalists on the sidelines of the first International BANKING FORUM-2024, answering a question regarding interest rates.
He disagreed with the journalists' comments about Armenian banks having high interest rates on loans. In this regard, he noted: "If we compare with other countries, I would not say that our rates are high." Azatyan noted that over the past 2-3 years, rates have increased slightly, but there is now a downward trend. "But these levels are still competitive," the head of the UBA emphasized. Speaking about the loan portfolio, he noted that the results of the third quarter have not been finalized up, and shared his impressions of the growth observed in all areas. Azatyan also pointed out that the main growth is coming from consumer loans and mortgages, while stressing that the industrial sector and other areas require new resources.
The head of the SBA also noted that over the past 3 years, the percentage of non-performing loans has decreased to 1-2%. To note that according to the RA Statistical Committee, interest rates on dram loans in Armenia in September 2024 amount to 13.68%, compared to 12.73% for the same period in 2023.
