YEREVAN. – As of February 2013, those companies that conduct air transport in Armenia owe about $40 million to the banking system, the Central Bank February report informs.  

The majority of these loan commitments, which total Armenian drams equivalent to approximately $37 million, is formed in the shape of foreign currency loans.  

This information is noteworthy against the backdrop of Armavia Airline Company’s—which is Armenia’s national carrier—stopping its operations as of April 1. To note, Armavia stopped its flights and announced that it will commence a bankruptcy process. Presumably, the majority of the aforesaid $40 million loan obligation belongs to Armavia itself.

It should be noted, however, that the total loan commitments of air transport in Armenia have reduced as compared to February 2012, when these obligations had totaled close to $50 million.

To note, aside from Armavia, ten other companies are licensed to conduct air transport in Armenia, but these are small companies.