Bank TuranAlem presented the results of 200528.03.2006
Today, Bank TuranAlem’s top managers held press conference in the format of telebridge "Almaty-Moscow". Press-conference for Kazakhstan and Russian journalists took place at the "MIR" International TV and Radio Company studio. (www.mirtv.ru)
Bank’s CEO, Saduakas Mameshtegi highlighted: "The major achievements of 2005 are the consolidation of the level of trust to the Bank, new corporate clients, strengthening of Bank’s positions in retail banking. This is the merit of the whole Bank’s team".
Bank’s consolidated net profits in 2005 made up $110 billion, as compared to 2004’s $50.6 billion, and total assets of $7.447 billion with total equity of $941 million (according to IFRS, on 1 January, 2006). In plans for 2006 - to increase the profits up to $200 billion and assets up to $11-$12 billion. On 20 March 2006 preliminary figures were $1,372 billion of equity and $8,042 billion in assets (according to Kazakhstan Financial Reporting Standards).
Code of corporate governance approved at Bank TuranAlem’s shareholders meeting on 14 October, 2005, allowed to assign powers to Management Board members more accurately, to increase transparency and operational efficiency. Code’s standards were compiled in accordance with current legislation and international standards, practice of corporate conduct, ethical norms of company’s activity in the capital market.BTA is devoted to its doctrine of conducting diversified business. The Bank provides active support to small and medium businesses, gives much attention to agricultural and construction sectors, mortgage lending, and strengthens its positions in corporate market.
BTA’s share of time deposits for physical persons grew to 21.2% in 2005; portfolio growth added up to $167 millions.
In 2005 Bank TuranAlem started to finance agricultural producers in distant regions of Kazakhstan. Bank’s entire credit policy in 2005 based on the principles of investment securitization, reduction of credit risks, diversification of loan portfolio and establishment of long-term financial relations with its borrowers. Loan portfolio for SME credits grew by 152% and made up $660 million. Financing period for businessmen was increased to 10 years and they received 34 thousand loans, which makes $1.248 million. Loan portfolio for corporate clients grew by 31% and on 31 December 2005 made up $3.82 billions.
Mainly, retail loan portfolio increase was due to mortgage and urgent needs lending. In 2005 BTA Group issued $409 millions for mortgage loans, with increase by 60% in comparison with 2004.
In 2005 the Bank increased volumes of pay-cards issues by 75%.
Expanding its presence in CIS, in 2005 Bank TuranAlem added 5 new representatives in Belarus, Kyrgyzstan, Georgia, Tajikistan and Armenia to the list of already established offices in Russia, Ukraine and China. In 2006 the Bank plans to expand in the internal market with the increase of its share to 25%.
BTA was the first Kazakhstan bank to issue 3-year Eurobonds with floating rate for $200 million, 4-year Eurobonds for 3 billion RUR. Diversifying its investor’s base the Bank actively uses syndicated loans. The largest loan received by BTA - $777 million, was the largest in CIS on the moment of receipt (20 September 2005).
Expanding its investor base and the range of international financing products the Bank strengthens its positions in international markets, and provides Kazakhstan companies with an access to new types and sources of international financing, assists to promotion of Kazakhstan financial system image as one of the most developed in group of emerging markets.
Most significant events of 2005 for BTA were the inclusion of Japan’s ORIX Corporation and International Financial Corporation (IFC) to shareholders list of "BTA Leasing", creation of "BTA Kazakhstan" pension fund as a result of "APF Kurmet" and "APF Kazakhstan" pension funds merger.In 2005 BTA Group was acknowledged by well-known British publication "Euromoney". BTA received awards in "The Best Bank in CIS" and "The Best Bank of Central Asia" nominations, and its subsidiary, JSC "TuranAlem Securities" received "Best Equities House in Kazakhstan". "The Banker" magazine awarded BTA with "Bank of the Year 2005" in Kazakhstan. Kazakhstan Stock Exchange (KASE) presented BTA, the only listing company, with "Golden" certificate.