KAZKOMMERTSBANK
Kazkommertsbank had an outstanding year in 2005, following flat results in 2004.
As a result of cheaper financing resources, increasing market shares and expansion in lending to both retail and corporate clients, it achieved 120% growth in net profits and a significant boost in RoE, rising to 25.4% from 16.9% the previous year.
In the corporate sector, credits grew by 70%, accounting for 64% of the loan portfolio, and fees and commission income rose by 25%. The expansion was helped by the raising of $700m on international and domestic capital markets. In retail, the bank continued to innovate with new credit cards and internet facilities, and growth in mortgage facilities (up 65%) and auto loans (up 14.7%). As a result, lending to individuals rose 29%, amounting to 33% of the loan total, helping to push aggregate asset growth up by 70%.
CEO Nina Zhussupova says: “We are intending to keep a leading position in segments that are favourable and profitable from the shareholders’ point of view. The position we occupy in the corporate sector as well as the retail sector gives us good possibilities for quick and sufficient growth. Taking into account our experience in the Kazakh market, we can assume, that we know for sure, how the market is developing, and our present position allows me to think that we will bring all of our plans [to fruition]. We have a rather ambitious programme to expand the retail network further.”
