OREANDA-NEWS. On January 16, 2007 the Association of German Banks (Bundesverband Deutscher Banken) has officially accepted Parex banka as a participant in the Deposit Protection Fund granting guarantee status for individual clients up the amount of 1,5 million Euro, reported the press-centre of Parex banka.

The inclusion came after the association completed due diligence of the bank's financial position and business model.

The President of Parex banka Valery Kargin stated: "We entered the German market as part of a long-term strategy to provide financial services to technology companies and equipment manufacturers doing business with Russia, Ukraine, Azerbaijan and the Baltic countries, where Parex banka already has successful leasing companies. It is a pleasure to work with our German clients, using our experience to help them achieve their goals in this region”.

Parex banka is the only bank from the recent EU accession countries operating in Germany to satisfy all the requirements of the German banking association and to be accepted into the Deposit Protection Fund. T he association of Germany banks is comparable to the Financial and Capital Market Commission of Latvia.

Signe Kalnina, Manager of the Berlin branch of Parex banka, noted: "We are very honoured to become the first bank from the latest EU member countries to fulfill the requirements of the German banking association and to be accepted as a member of the deposit protection fund. We are now able to guarantee individual client deposits up to EUR 1,5 million, which shows the stability of our comparatively new German operation”.

Parex banka currently has two branches in Germany, in Berlin and Hamburg, employing 20 people. By the end of 2007 the bank had 5,000 clients in Germany, 96% of whom were German private individuals. The volume of deposits in both the German branches was 52 million Euros as at 31 December 2007. In the first half of 2008 Parex banka plans to expand its operations in Germany by opening a branch in Munich.

Parex banka intends to offer the complete spectrum of financial services to its German clients. At present Parex banka offers clients competitive products in deposit accounts – with a 5% interest rate on Euro deposits for private individuals for 12 months -and 4.75% for deposits in saving accounts

Further information about the Deposit Protection Fund of the Association of German Banks can be obtained on the web page:
www.bankenverband.de/html/verband/einlagensicherung.asp?.channel=101832