VELIKA VASILKIVSKA, Ukraine, Oct. 6, 2008 (GLOBE NEWSWIRE) -- The Ukrainian banking system is represented by 178 credit and finance institutions, whose assets accounted for U.S. $722.6 billion as at July 1st 2008. Ukrainian banking is not homogeneous, and among such diversity, special attention is drawn to the banks aggressively aiming to increase their market share. That kind of strategy is vividly demonstrated by UkrGasBank.
Over the last six months the bank's net assets increased by 18%, the growth -- typical across the system -- being due to the boosted lending. According to the National Bank of Ukraine, overall loans issued by the Ukrainian banks in H1, 2008 increased by 21.4%, while UkrGasBank's loans portfolio grew by 28%. In the spate of the global credit squeeze, many Ukrainian banks have been suffering from a lack of funds required to at least keep up pace. UkrGasBank, however, has taken advantage of its ability and mobility in resorting to domestic funding. It is this fact that guarantees stability in the present climate. Recently, UkrGasBank has not only managed to preserve its retail lending market position -- but also significantly strengthened it (the volume of retail loans increased 1.5 times in the last six months).
Despite the swift loan portfolio growth, the bank's policy is characterized by a well balanced and conservative credit risk approach. As a result, it has one of the best loan book quality indicators in the market, with 4.5% LLP as a preventive buffer for its fast-growing portfolio.
About UkrGasBank
UkrGasBank was established in 1993 Legal form: Open Joint Stock Bank
Top 20 Ukrainian bank
-- Total assets - USD2.048m, shareholders' equity - USD190m as of y/e 2007
-- Universal bank of a national scale with 15 years' experience in the Ukrainian market
-- Strong focus on SME's and retail banking
-- Transparency and public information policy
-- Corporate governance meeting international standards and world's best practices
-- Accounts audited by Deloitte & Touche under IFRS since 1997
-- Heavy emphasis on enhanced risk management policies
-- Nationwide network represented by over 287 points of sale for over 17,000 corporate and 457,000 retail clients as of y/e 2007
-- As of y/e 2007, the Bank employed 3,496 people, of which almost one third work in the Kiev-based head office and two thirds in branches and outlets.
-- Principal member of MasterCard (2000), VISA (2002) and UkrCard (2002)
International and local ratings:
Fitch: Long-term IDR 'B-', Short-term IDR 'B', National Long-term 'BBB-' (ukr), Stable
Moody's: B2/Not prime foreign currency deposit, E+ FSR, 'A2.ua/-'NSR bank deposits - domestic currency, Stable
International track record:
December 2006 - $16m debut syndicated loan June 2007 - $46m syndicated loan December 2007 - $20m syndicated loan
Participation in international projects:
2004 - The EC TACIS programme Banking sector reform in Ukraine
2005 - The USAID Programme on Development of Mortgage Loans in
Ukraine
2006 - The IFC project Corporate Governance in the Ukrainian
Banking Sector
2007 - The World Bank Export Development Project-2
An active player in card, securities, bank metals market, documentary business and project finance.