KPMG has published Armenia’s Banking Sector Overview for the 2025 first half results.“The publication summarizes and analyzes the financial results of the 17 commercial banks of Armenia, as well as provides some insights into the developments in the sector,” the foreword states.In the “Sector Highlights” section, KPMG highlighted:- Compared with the same period of 2024, the banking system assets increased by 16.6% and reached AMD 12,830 billion as of 31 December 2025.- For the period ended 31 December 2025 the return on assets (ROA) for the Armenian banking system was 3.54%, which was lower by 0.04 percentage point compared with the same period of 2024.- In the second half of 2025 compared with the first half of 2025 there were a few changes in the list of Top 10 Banks in Armenia by assets. “ArmEconomBank” OJSC moved up by 1 position, while “Converse Bank” CJSC moved down by 1 position.- As of 31 December 2025 the total amount of outstanding loans increased by 22.7% compared with the same period of 2024 and reached AMD 7,700 billion.- For the period ended 31 December 2025 the ratio of loan portfolio to total assets for the Armenian banking system was 60.0%. According to the CBA, as of 31 December 2025 the Armenian banking system liquidity ratio was 29.0%.- For the reported period ended 31 December 2025 the total net provision expenses of the Armenian banking sector increased by 6.1% compared with the same period of 2024, and amounted to AMD 37.08 billion.- The outstanding balance of deposits as of 31 December 2025 increased by 12.7% compared with the same date of 2024, reaching AMD 7,335 billion.- As of 31 December 2025 the loan portfolio/deposit ratio for the Armenian banking system was 1.05.- As of 31 December 2025 the total equity of banks reached AMD 2,175 billion, which exceeded the same indicator as of 31 December 2024 by 22.63%.- For the period ended 31 December 2025 the return on equity (ROE) for the Armenian banking system was 21.34%. The ratio of equity to assets as of the reported date was 17.0%. According to the CBA, the capital adequacy ratio of Armenian banking system was 20.7%.- During the period ended 31 December 2025, the banking system had total income of AMD 1,424 billion, which exceeded the total income for the same period of 2024 by 17.5%.- For the period ended 31 December 2025 the net interest margin for the Armenian banking system was 6.1%. The cost to income ratio for the reported period was 39.3%.- The net profit before taxes of the banks for the period ended 31 December 2025 was AMD 513 billion.- The net profit after taxes of the banking system for the period ended 31 December 2025 was AMD 421 billion, which is 16.8% higher compared with the same period of 2024.- For the period ended 31 December 2025 the profit margin for the Armenian banking system was 29.6%.The KPMG overview is available in Armenian and English. Tweet Views 4023