Finance

Finance

Etibar Aliyev: Texnikabank remain committed to continuing its lending policy in 2010

26 January 2010 17:19 (UTC +04:00)

Baku. Rashad Suleymanov - APA-ECONOMICS. Texnikabank become the first entity in the market capital of Azerbaijan to have its securities in the first degree quotation list in 2009, said Etibar Aliyev, Chairman of the Supervisory Board Texnikabank, in interview with a local newspaper Azerbaycan

According to him, Texnikabankâ€™s main targets o in 2009 were to provide liquidity, continue institutional development, improve risk management, and expand equity diversification.

â€œThe Bank successfully implemented a purposeful loaning policy and made great strides in mortgage lending. Risk management covered the requirements of the real sector, evaluation was carried out and, attempts were made to solve financial resources problems.
At present, foreign borrowing accounts for 4% of the liabilities and this is a very good indicator. Domestic resources came from three sources - household deposits, public funds and corporate deposits. These three sources have opened the possibility for our bank to continue the lending policy in 2010" the article reads.

Etibar Aliyev noted that, despite the deepening financial crisis in 2009, the bank managed to preserve its assets and achieved AZN 17 million (5%) growth. Along with this, asset quality improved. The share of loans to corporate customers reached more than 70% of loans in 2009.

He also added that during the reporting period, the Bank successfully continued lending to the real sector, by pumping more than AZN 16 million.

â€œIn general, the loan portfolio amounted to AZN 360 million, deposits grew by 15% (AZN 12 million) to AZN 94 million. Our bank’s income reached AZN 69 million and expenditure made AZN 12.7 million during that periodâ€¦
Shareholders of the Bank decided that to inject the current yearâ€™s earnings to the capital. In addition, AZN 4 million was spent on the development of 4 subsidiaries (insurance, leasing, securities market, processing)" he noted.

He concluded that the bank spent AZN 7-10 million to the construction of administrative buildings for branches, as well as providing branches and offices with modern equipment etc.