OREANDA-NEWS  On 09 December was announced, that in the complex economic situation on the financial markets “BTA-Kazan” bank is the one in Tatarstan who closed additional emission this year increasing authorized capital nearly twofold.

On November 20, 2008 Central Bank of Russia has registered report on the results of additional emission of "BTA-Kazan" JSCB to the amount of 810 114 345, 15 roubles. The amount of an authorized capital of the Bank by additional issue of the shares is 1 811 896 243,6 roubles, thus, bank’s equity capital reached 2 270 463 185,51 roubles.

In terms of financial difficulties which affected domestic economy one of the strategic tasks of the Government in the nearest future is to realize successfully the measures towards the banking sector support. Taking into account the importance of healthy banking sector to develop the economy in general, President of Tatarstan, Mr. Shaimiyev in its message to the Republic’s State Council states: "For the last 2 months we have highly appreciated the role of the bank system in securing financial and economic stability of the country. At the same time we appreciate the role of the government itself in financial management".

Shareholders decided to provide funds for "BTA-Kazan" JCSB further development in accordance with the measures taken by the government to improve the situation of the banking system of the country. This event – is an objective necessity for dynamically developing financial organization. On the back of instability of the financial system in general such news, according to analytics’ estimates, is definitely positive for the bank.

"Shareholders’ readiness to invest sufficient funds into the increase of the share capital indicates the stability of its work and shareholders’ confidence in the future", - notes Chairman of the Board of "BTA-Kazan" Mudaris Idrisov. Economic vicissitudes cause the problem of misunderstanding between the participants of economic relations – this is the price they pay for absence of reliable information on the economic climate in the future. Such decision is an obvious evidence of the shareholder’s confidence in Tatarstan’s great economic potential.

"Increase of share capital responses to economic policy carried out in the Republic of Tatarstan. Economy of the region will not be able to achieve obvious results without correct work of financial institutes which drive economy forward" – has underlined Mudaris Idrisov. "BTA-Kazan" keeps with the times, strives to be competent bank which knows the needs of its clients and seeks the ways to satisfy such needs.

As analytics state, additional issue will allow the bank to raise funds from own reserves in the terms of significant cost of credit resources. So, "BTA-Kazan" is under no risk to find itself in difficult situation concerning current instability on the financial market which, particularly, was confirmed by recent expert opinion (November 2008) of Fitch Rating international ratings agency on "В" level. When global financial markets suffer instability, Fitch Rating’s opinion on "BTA-Kazan" good financial situation is very important.

Beside funds raising, additional emission allows the Bank to rely on getting "Vnesheconombank" subordinated loan. According to federal law "On additional measures to support financial system of the Russian Federation " dated October 13 the loan may be issued provided that "after October 1 lending institution has received from the third parties loans or amount payable as a contribution to authorized capital" - in other words if authorized capital of the organization was increased.