Number of Commercial Banks in Armenia Decreased By Seven in One Year

YEREVAN (Armenpress)–Twenty-six commercial banks are currently operating in Armenia–whose number decreased by seven as compared to the previous year. This is the case due to the fact that only 3-4 banks are big–whereas the others are small and do not maintain the liquidity of normative and sufficiency of resources. To avoid the further hardships–the CB asks the court to begin the liquidation process.

According to the head of the UAB–Econominvest Bank has been liquidated by a court’s decision and the cases of liquidating another two banks are underway. There are four other banks that are to be placed into the custody of the court.

The major changes will be made in the banking system within the following four years–while at the over the same amount of time banks’ own capital must exceed $5 million–a requirement met today only by three or four banks–including HSBC–the leading commercial bank in Armenia–as well as Credit Yerevan and Hayeconombank.

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