YEREVAN. – Return on average equity (RoE) in Armenian banking system in 2014 totaled 4.5%, Mr Andranik Grigoryan, head of Financial System Stability and Development Department of the Central Bank of Armenia, said at the media conference on Tuesday.

This value, which is relatively low in Armenia, was caused by an intense competition, as well as a slight growth of non-performing assets (6.8% as of end of 2014, compared to 4.5% a year earlier).

“Nevertheless, our prudential requirements leave certain room for adaptation to the banks,” he said. 

He underscored that banks were able to cater to both consumers and businesses even in December 2014, amid the turbulence of exchange rates. Some of them shied away from operations they considered too risky at that moment, but did not violate the Central Bank regulations.

“Those who did, faced certain actions,” CB official added.