CBA Makes Statement
OREANDA-NEWS. June 25, 2014. Media outlets have been recently commenting upon the slide in the scale of banking system deposits and the hike in the number of banks operating with loss.
Accordingly, we are notifying that the dynamics of deposits is driven by depositors’ individual behavior depending on an economic cycle, seasonal factors and other reasons.
The drop in the scale of deposits in current April was not systemic by nature, which was replaced by the recovery in the volume of bank deposits in May, thus exceeding the April decline.
Overall, the scale of deposits has jumped 40% on annual average over recent 10 years, 25% in 2013 and 5% in current five months.
The climb in the number of banks operating with loss attributes to banks’ more conservative provisioning policy on assets, which does not impose any threats or risks to banks’ financial sustainability and activities. The above indicators stem from the banks’ performance of the first five months.
We are reiterating that the banking system indicators are stable, the liquidity position is high, while the capitalization level is adequate.
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