...

Three problematic banks in Armenia's banking system - CBA chairman

Armenia Materials 26 December 2006 11:57 (UTC +04:00)

(ARKA) - Armenia has three problematic banks now, Chairman of the Central Bank of Armenia (CBA) Tigran Sargsyan told ARKA.

Referring to the CAMELS analysis system, Sargsyan said that these banks received rather low ratings. This is first of all a low management level as well as money-laundering, which is unacceptable for Armenia, Sargsyan said.

He pointed out that the CBA is currently exercising a strict supervision over the three banks, reports Trend.

Sargsyan reported that the CBA is conducting negotiations with the banks' owners and prepared a list of measures to implement.

"The owners' understanding is inspires hope that he problems with the three banks will be resolved in 2007," Sargsyan said.

He stressed that the CBA does not want the banks' licenses to be revoked.

"They have a serious potential for resolving their problems. So we are not for revoking their licenses, but for the implementation of the agreements we reached," Sargsyan said.

He added that if the owners fail to meet the requirements, the banks' licenses will be revoked.

Twenty-one banks are currently operating in Armenia.

Latest

Latest