ArmInfo.The vast majority of immigrants have long-term plans with Armenia. This was stated during a press conference on May 2 by chairman of the Central Bank of Armenia, Martin Galstyan, referring to the results of a survey conducted by German Economic. In addition, he noted that according to the survey, at least half of the citizens who moved to Armenia plan to live here for more than a year.
The head of the Central Bank also drew attention to the fact that today the growth rate of non-resident deposits (mainly on demand) outpaces the growth dynamics of residents' deposits.
With a change in the situation, if demand deposits are transformed into term deposits, then after a certain time, according to Galstyan, this will force banks to carry out their functions in more risky areas. "And if we see these changes in the current year, then we can expect a certain increase in placements in other instruments," the chairman of the Central Bank said.
Speaking about the risks associated with the level of dollarization, he explained that, depending on the situation, each bank will decide for itself where, in what instruments, and for what period of time to allocate these funds. Galstyan did not rule out that banks could convert these currency funds, to some extent activating the derivatives market (swap, forwards, etc.). "That is, hedging currency risks will allow banks to protect their positions in the market and start the process of dramization," he said.