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ARMENIAN GOVERNMENT TO BRISK UP CREDIT PROVISION
Noyan Tapan
June 5, 2009
YEREVAN, JUNE 5, NOYAN TAPAN. The passivity of banks in the provision
of consumer credits is a phenomenon typical of not only the Armenian
banking system. In connection with the increased level of risks under
conditions of the financial and economic crisis, banks in almost
all countries are extremely cautious about crediting. RA Minister
of Finance Tigran Davtian expressed this opinion at the June 4 press
conference.
According to him, some tendencies to activation of the credit provision
sector have now begun because the negative expectations caused by the
crisis have declined. "I think that these tendencies will be also
observed in Armenia after a time," the minister said. On the other
hand, negative expectations related to fluctuations of the exchange
rate have declined in the country.
The minister said that the government will contribute to activation
of credit provision in Armenia by ensuring an inflow of external
financial resources for commercial banks, which will increase the
supply of credits.
Considerable external resources will be attracted for this purpose
within the next 1-2 months. Besides, the Central Bank of Armenia
(CBA) will establish a mortgage fund to promote mortgage crediting
and construction sector.
Noyan Tapan
June 5, 2009
YEREVAN, JUNE 5, NOYAN TAPAN. The passivity of banks in the provision
of consumer credits is a phenomenon typical of not only the Armenian
banking system. In connection with the increased level of risks under
conditions of the financial and economic crisis, banks in almost
all countries are extremely cautious about crediting. RA Minister
of Finance Tigran Davtian expressed this opinion at the June 4 press
conference.
According to him, some tendencies to activation of the credit provision
sector have now begun because the negative expectations caused by the
crisis have declined. "I think that these tendencies will be also
observed in Armenia after a time," the minister said. On the other
hand, negative expectations related to fluctuations of the exchange
rate have declined in the country.
The minister said that the government will contribute to activation
of credit provision in Armenia by ensuring an inflow of external
financial resources for commercial banks, which will increase the
supply of credits.
Considerable external resources will be attracted for this purpose
within the next 1-2 months. Besides, the Central Bank of Armenia
(CBA) will establish a mortgage fund to promote mortgage crediting
and construction sector.