OREANDA-NEWS. February 09, 2010. 2009 became of the most significant years in the history of DemirBank. It was marked with the name change, 20th anniversary, institutional development and operational improvement of the Bank, reported the press-centre of DemirBank.

In October 2009 the name of the Bank was changed from "Azerdemiryolbank" to "DemirBank". The new name will ensure continuing legacy and retention of 20 year history and achievements of the Bank.

In view of its new name new logo of the Bank was developed and TV advertisement campaign on rebranding and 20th anniversary conducted. The Bank is also completing the development of brand book and started implementation of new corporate style in branches.

On October 6, 2009 one of the first banks in Azerbaijan DemirBank celebrated its 20th anniversary. On the occasion of this anniversary various events, as well as “YUBILEY” lottery campaign among depositors with the main prize TOYOTA RAV4 have been organized.

DemirBank’s assets as of January 1, 2010 amount 266 mln AZN, which exceeds the same indicator of previous year by 16.4%. Volume of the loan portfolio also increase this year and reached 199 mln AZN.

Total value of customer deposits as of January 1, 2010 is equal to 95.2 mln AZN, which is a 45.7%.  Value of population’s deposits has reached 70.8 mln AZN, which represents a 70% increase. This is another evidence of Bank’s successful functioning.

As of January 1, 2010 DemirBank’s charter capital amounted 18.4 mln AZN, while total regulatory capital reached 46.5 mln AZN.  This growth indicator reflects the successful activity of and clients’ confidence in the Bank as well as the success of “Deposit choice” program and “Yubiley” lottery campaign.

In 2009 international rating agency “Planet Rating” gave DemirBank B+ rating with “positive” forecast. For its corporate governance, risk management, operational efficiency and profitability, business and information the Bank received B, but for financing and liquidity, first time in Azerbaijan, A rating.

International rating agency “Fitch Ratings” in 2009 reconfirmed the B- rating of DemirBank with “stable” forecast that is also an indicator of successful operation of the Bank.

In 2009 DemirBank signed new loan agreements with international financial institutions and attracted finances in the amount of US53 mln.dollars. DemirBank cooperates on various credit programs with international financial institutions, such as European Bank for Reconstruction and Development, International Finance Corporation, Holland Financial Company for Development (FMO), Black Sea Trade and Development Bank, German-Azerbaijan Fund, German Investment Company DEG, International Development Fund OFID, Islamic Corporation on Private Sector Development, Trade-Finance Fund Rosemount Global (USA), BANIF (Portugal), Investment Fund SIFEM AG (Switzerland), ING BANK (Netherlands), etc.

In 2009 DemirBank offered its clients new products and programs, such as “Kids deposit”, “Free plastic cards for students abroad”, “Embawood” furniture purchase loans, Internet-Banking service, transactions with British pounds, etc. DemirBank also resumed the issue of mortgage loans financed by Azerbaijan Mortgage Fund within state mortgage program.

Last year the Bank developed new Tariffs covering all its services. New tariffs are more competitive and directed on the satisfaction of clients’ needs. Jointly with SilverKey Azerbaijan DemirBank also expanded service payment opportunities within E-commerce project.

At the beginning of 2009 DemirBank opened two new branches “Xezer” and “Yasamal”. The Bank also increased the number of ATMs in Baku and regions. For optimization of customer services network some branches and ATMs were moved to new addresses. For the results of 2009 the Bank has 29 branches and 47 ATMs. 

In 2009 the Bank continued its activity on Institutional Development and Implementation of Corporate Governance Standards. In accordance with its Strategic Plan 2008-2010 the Bank worked on the development of operational environment, risk management system, internal audit, etc. In connection with introduction of “SAP for Banking” software program DemirBank together with EBRD conducted international tender, selected consulting company and started the implantation of program software.

In 2009 DemirBank was awarded an Honorary Certificate from the payment system VISA International for the “Issue of 50000th card” of this system and an Honorary Diploma in the “Money-Credit and Banking Services“ category at the ceremony of 5 year anniversary of State Program for Social-Economic Development of Regions.

In 2010 DemirBank plans to strengthen its activity. Bank will focus on institutional development, improvement of corporate governance practices and risk management system and other areas within technical assistance programs.

DemirBank will also work on the introduction of new customer service standards, increase of quality of customer services, expansion of branch network, implementation of new corporate style in branches, strengthening of employee potential. In the course of year the Bank will continue the work on implantation of “SAP for Banking” program software and other directions.

One of the first banks of Azerbaijan, DemirBank (formerly called Azerdemiryolbank) started its operations 1989. Shareholders of the Banks include large international financial institutions, such as European Bank for Reconstruction and Development (EBRD) and Netherlands Development Finance Company (FMO).