Armbanks website visitor’s enquiry
What impact will sharp dram devaluation cause on quality and volume of bank deposits in Armenia?
Astrid Clifford, HSBC Bank Armenia Chief Executive Officer, answers the question.
Actually we can expect currency fluctuations to result in transferring some part of dram deposits into dollar ones, she clarified.
However, this thing, according to her, hasn’t been set in motion yet and no significant changes have been reported.
The proportions between dollar and dram deposits in the banking system remained unchanged, and in general, we don’t project any significant changes, Clifford resumed.
Within the period from May 11 to June 12 the Armenian national currency has devaluated against the U.S. dollar by 20.20 p.p. or 5.1% (from 393.41 to 413.61 drams per $1). The maximum high rate of the USD against AMD was recorded at 413.61 drams per $1.
At the same time the Armenian Central Bank’s data shows that dram deposits made up 31.70% of all deposit portfolio of Armenian banking system in April against 31.74% in March of this year.
