ArmInfo.Ardshinbank extended the deadline for accepting applications for amnesty of fines / penalties for bad loans until October 1, thereby providing borrowers with additional time to restructure and refinance debt. As ArmInfo explained in the press service of the bank, it is a question of retail loans without collateral classified as bad as of May 31, 2018.
The terms of refinancing such loans and amnesty fines and penalties can be found on the Ardshinbank website at https://bit.2/2mcDLbSArdshinbank was one of the first banks to start implementing the government initiative on the amnesty of fines and penalties on uncollectible loans to individuals. Namely, on July 7, 2018, the bank announced its readiness to accept applications for restructuring and refinancing such loans. Recall that July 2, 2018. The Prime Minister held a meeting with bankers in the government of the Republic of Armenia in order to practically address the issue of concessions of fines and penalties for problem loans. On the same day, ACBA-Credit Agricole Bank and Ameriabank announced the cancellation of fines and penalties on hopeless loans to individuals, then IDBank (July 4) and Ardshinbank (July 7) announced about joining this process, and the rest of the banks were also involved in this process.
According to the Financial Ratings of Banks of Armenia, as of January 1, 2019, prepared by the IC ArmInfo, Ardshinbank is in the TOP-3 in terms of its main financial indicators. Credit investments of the bank amounted to 457.9 billion drams ($ 946.5 million, 2nd position), with an annual growth of 14.7%. In the total loan portfolio of the Bank, the share of overdue loans accounts for 5.5%, with the lion's share being in the categories of risk that are controlled and questionable. In annual terms, the absolute value of the NPL has increased significantly, including for highly risky doubtful loans. In the total loan portfolio of the Bank, the share of doubtful loans accounts for 2.4%, and in the portfolio of overdue loans the share of this category almost reaches 44%. About 47% of doubtful loans are concentrated in consumer loans (including mortgages). By the volume of consumer credits, the bank occupies the 2nd position, and their share in the total loan portfolio of the bank is 22.5%.
The bank has increased the volume of consumer loans in annual terms by 47%. In its report on the classification of the loan portfolio by risk groups, the bank does not indicate the amount of bad loans. 2018 Ardshinbank completed with a net profit of 8.2 billion drams ($ 16.98 million, 2nd position), with an annual growth of 48.6%. In terms of income from loans, the Bank holds the 2nd position, increasing their share in total revenues to 51%.Note that Ardshinbank was founded in 2003. The majority shareholders of Ardshinbank as of January 1, 2019 are Arins Group LLC (formerly called Business Investment Center LLC) with a 67.97% share in the capital and REGION Industrial and Financial Corporation CJSC - 29.52%. Ardshinbank is the second largest bank in Armenia, having one of the largest branch networks, with 64 branches. Ardshinbank was assigned credit ratings of two international rating agencies (Moody's and Fitch), equal to the country rating of Armenia.