OREANDA-NEWS. August 24, 2011. Clientele of Piraeus Bank in Ukraine grew by more than 10 000 customers in 1H 2011.

According to the results of Piraeus Bank`s activity in Ukraine by IFRS in the first half of 2011 the Bank`s assets grew by 20% to UAH 4,015 bln, loans and advances to customers increased by 12,5% to UAH 2,929 bln, due to customers expanded by 4% to UAH 1,363 bln. Regulatory capital of Piraeus Bank ICB increased by 93% to UAH 1,628 bln. Clientele of Piraeus Bank in Ukraine grew by more than 10 000 customers in 1H 2011.

"Despite of difficult situation in Greece Piraeus Bank, one of the leading banking groups in South and Eastern Europe, showed a significant expansion of its business in Ukraine in terms of qualitative and quantitative results in 1H 2011”, Yannis Kyriakopoulos, Chairman of the Supervisory Board of Piraeus Bank ICB, said. “During the first 6 months of the year we opened 4 new European-style branches in Lviv, Odessa, Donetsk and Mariupol. We put into operation internet banking system and fully built SME business line. Besides, we launched a large-scaled training program and contest “Model of Quality" for front offices. This made a very positive impact on quality of service as evidenced by the results of mystery shopping research. And most importantly that Ukraine needs today we actively gave loans to real economy”, Mr. Kyriakopoulos said.

The total amount of new loans disbursed by Piraeus Bank to solvent borrowers in Ukraine in 1H 2011 exceeded UAH 388 mln. Majority of loans were disbursed to medium and large businesses. "We have enough financial resources and competitive banking products for further significant expansion of our loan portfolio. This is the main source of reduction of the bank`s losses, mainly due to making a provisions for non-performing loans which appeared mostly as a result of the economic crisis 2009-2010 in the country. Although the Ukrainian economy is growing today, certain legal and regulatory amendments such as bankruptcy legislation need to take place so that creditors are well protected. We believe that all these are in the process of happening as we also notice that borrowers` profile is improving. Moving into the third quarter of 2011, July has been a profitable month for the Bank and we therefore feel comfortable that our lending business will allow us to become profitable in 2012 overall", Yannis Kyriakopoulos said.