Deposits growth exceed increase in crediting – cenbank governor

YEREVAN, MAY 2, ARMENPRESS. Loans increased 16% and deposits grew “with progressive pace” in 2022, Central Bank Governor Martin Galstyan said at a press conference.

“During the year a growth of activeness was recorded in the crediting market, loans grew around 16%, which is comparable with the pace of the average growth of pre-COVID 19 years. At the same time, in conditions of high economic growth the deposits grew progressively against loans. Meaning, due to the entry of non-resident entities into the Armenian financial market, we have a situation when the growth of deposits has exceeded the growth of loans,” Galstyan said.

The growth in crediting was seen in all directions.

The profitability of the banking system “significantly improved” in 2022, Galstyan added.

He also said that deflation of goods is observed as a result of prices of food products falling globally. This could lead to the inflation in Armenia becoming lower than the projected 4%.