Annual Report 2019 slide image

Annual Report 2019

Central Bank of the Republic of Armenia Notes to the 2019 consolidated financial statements 8. Net gain on financial instruments at fair value through profit or loss In thousands of Armenian Drams 2019 2018 Net gain on foreign securities under own management (excluding foreign exchange translation*) 14,508,756 12,789,190 Net loss on assets under trust management (excluding foreign exchange translation*) (33,271) (824,518) Net gain on money market instruments under own management (excluding foreign exchange translation*) Trust management fees (excluding foreign exchange translation*) Total net gain on financial instruments at fair value through profit or loss 44,229 (17,763) 156,277 (182,513) 14,501,951 11,938,436 * The foreign exchange translation of assets is included in "Net foreign exchange loss" (Refer to Note 6). 9. Other income 10. In thousands of Armenian Drams Numismatic coins Financial agency fee Other 2019 2018 725,162 651,905 163,865 259,379 3,337,231 2,825,131 4,226,258 3,736,415 Total other income Financial agency fee represents fee which is obtained by the Bank as an agent of the Government in accordance with the agency agreements. Based on the conditions of the agency agreements the Bank provides loans to commercial banks and other financial institutions. During the year ended 31 December 2019, the amount of AMD 2,460,686 thousand included in "Other" line represents the revenue of two subsidiaries of the Bank which render cash collection and plastic cards processing services (2018: AMD 2,091,643 thousand). Cost of production of banknotes, coins and numismatics In thousands of Armenian Drams Production of numismatic coins sold during the year Production of banknotes and coins Total cost of production of banknotes, coins and numismatics 2019 2018 618,159 210,762 546,085 4,477,131 828,921 5,023,216 In 2018 in connection with the 25th anniversary of the Armenian Dram, the Central Bank has issued and circulated the third series of banknotes of the Republic of Armenia, addressing a number of important issues of Armenian Dram protection by applying printing technology innovations. The banknotes structure has been optimized with the introduction of a new banknote with a nominal value of 2000 AMD. The third series of banknotes are represented by nominal values of 1000, 2000, 5000, 10 000, 20 000 and 50 000 AMD. 11. Other expenses In thousands of Armenian Drams 2019 2018 Employee compensation, staff training and related payments Depreciation and amortisation 8,292,421 8,149,397 4,231,048 4,649,127 Repairs and maintenance 1,672,598 1,864,696 Security and insurance expenses 562,394 434,751 Expenses on development and maintenance of payment system Professional services 467,193 482,285 136,632 188,075 Education, research and development of new projects 112,644 742,417 Other 2,420,388 2,873,593 Total other expenses 17,895,318 19,384,341 During the year ended 31 December 2019 and 31 December 2018, the expenses included into "Other" line represent subscription fees, communication expenses, utilities, rent expenses and stationary of the Bank and its subsidiaries. 22 22
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