YEREVAN, November 3. /ARKA/. The Central Bank of Armenia will cut capital investments by 90% in 2021, Central Bank Chairman Martin Galstyan said Monday at parliamentary hearings on the draft state budget for 2021.

In his words, in the draft state budget for 2021, the capital expenditures of the central bank will amount to 1.17 billion drams (90% less than in 2020).

“This is due to the fact that in 2021 we do not plan to invest in the capital of subsidiaries as part of the strategy for exiting the capital of companies,” Galstyan said.

He noted that these companies today have enough capital and working capital to implement further activities.

In this regard, he noted that the capital expenditures of the Central Bank will mainly be directed to intangible assets, in particular, about 80% of the funds will be directed to the purchase of computer equipment, programs and other equipment (about 930 million drams).

Also, according to him, in 2021 it is planned to carry out a small reconstruction of the central bank building for which 220 million drams (19% of capital expenditures) will be allocated, and 13 million drams will be directed to replace one official car.

Earlier, the Central Bank has already announced its intention to withdraw from all subsidiaries, including the Armenian Card national payment system, ACRA credit bureau, Arminkassation CJSC and Panarmenian Bank. The exit was planned to be carried out within 3-5 years.

Artur Javadyan, ex-head of the central bank, said yet in 2016 that the Central Bank of Armenia plans to withdraw from the capital of all companies. This decision was due to the fact that, for example, credit resources, in particular, provided by the All-Armenian Bank, should not be listed on the Central Bank's balance sheet.

Armenian Card CJSC was founded by the Central Bank of Armenia and 10 commercial banks of Armenia in 2000 as a single national payment card payment system.
ACRA is the first private credit bureau in Armenia, founded in 2004.
Arminkassation CJSC has been operating since 1998.

The Panarmenian Bank is a development bank and was founded as an open joint stock company with an authorized capital of $ 100 million, of which $ 20 million is the paid share of the Armenian government. The bank received a license to carry out banking activities in June 2011, and on September 7 it was officially opened. Today the only shareholder of the bank is the Central Bank of Armenia. -0-