OREANDA-NEWS.  July 09, 2014. MEGABANK, PJSC celebrates its 24th anniversary. All these years have been for the bank rich in successes and achievements, and today it is a safe and stable working financial institution that managed to do what did not work for many others.

Thanks to the professionalism and team cohesion MEGABANK, PJSC has a high level of liquidity and capital adequacy, has built an extensive regional network. About how it all began, and about what is today for MEGABANK, PJSC, said CEO of the bank Olena Zhukova.

- Olena Mikhailovna, MEGABANK, PJSC began working in the early 90s. Since then, in Ukraine, including in the financial sector, there has been a lot of turmoil. How did you manage to resist, more over – to actively develop?
- Then, in 1990, our bank was registered as a commercial bank in Kharkov "Dobrodіy". In 1995 it was decided to rename to MEGABANK.

Our time was becoming in a difficult period: the collapse of the Soviet Union, the gap of economic ties. We grew up together with Ukraine and with all compatriots survived three economic, several political crises, revolution. Today, of course, we suffer for the situation in the East of the country.

Despite this, we do not just survived – we have grown and evolved. Today MEGABANK,PJSC is one of the most stable financial institutions in Ukraine. Our reputation confirmed hundreds of thousands of customers and respected international organizations.

- Is there any secret of success?
- The only one: a team of professionals, which today works with desire to achieve high goals and challenges. Another of our big plus is a properly developed strategy. Due to this we got the results that there are today.

- What of conceived at the very beginning has been achieved?
- In 1997, established a regional center of bill payments, which succeeded to solve the problem of non-payments in the budget and the energy sector. many problems of enterprises of Kharkov region ventured then. Also today, the Bank is a party and produces plastic cards as the National System of Mass Electronic Payments and international payment systems "MasterCard" and "Visa international". We employ 155 units that provide services to customers in 20 regions of Ukraine. International financial institutions of national importance are our partners and provide long-term financing.

Our unique achievement is Integral Clearing Center. Single receipt for payment of utility bills and energy we offered to Kharkovites January 1, 1999. There is no analogue of this program in Ukraine.

- ICC is your pride. In which regions does the system work?
- ICC system operates in 9 regions of Ukraine. Creating it, we primarily think about the comfort of Kharkivites. Thanks to the ICC, the residents of our city can know the status of their accounts, the amount of debt, to issue subsidy. Originally Kharkivites could pay via ICC 4-6 services, now  over 60. Payment is accepted in more than 100 points of payment. Prior to 2001, we worked for Kharkiv, and then decided to go to other regions. Thanks to ICC the clients of MEGABANK, PJSC today are about 2 million Ukrainians.

- It is known that MEGABANK, PJSC boasts of its international shareholders and partners. What organizations do you cooperate?
- History of cooperation with international financial institutions began in 2005. Then MEGABANK, PJSC the first of the banks took part in a pilot project of the International Finance Corporation (World Bank Group), "Improving corporate governance in the banking sector of Ukraine". Clear strategy, well established system of risk management and transparency allowed "MEGABANK" in 2007 to improve relations with the World Bank, the European Bank for Reconstruction and Development (EBRD), the German Development Bank KfW and to sign first loan agreements.

In addition, since 2009 the international financial institutions – such as the EBRD, KfW and the International Finance Corporation (IFC), – are shareholders MEGABANK, PJSC and EBRD and KfW are part of the Bank's Supervisory Board and participate in its management.

Over 7 years of cooperation with international investors, the Bank attracted to the Ukrainian economy of 236 million dollars and is currently implementing 14 long-term loan programs of 11 foreign investors, such as the International Bank for Reconstruction and Development, IFC, KfW, FMO, NEFCO, EFSE, GGF, American company World Business Capital, fund ResponsAbility, German Ukrainian fund.

About half of all funds received from international financial institutions, have been allocated to MEGABANK, PJSC for the financing of small and medium businesses. In addition, 20% of the funds are directed to the development of energy efficiency programs in Ukraine and 15% – for the development of Ukrainian enterprises – exporters. During the implementation of these programs Bank provided financing to the real economy of Ukraine totaling more than UAH 2 billion.

- Last year as a whole was successful for MEGABANK, PJSC?
- Yes, the 2013th year was really successful for us, because almost all the indicators that have been planned for 2013, were met and some – exceeded. Overfulfilment achieved on assets and the bank's loan portfolio. How this was achieved? By the daily hard work of the entire team. All the difficulties that are traditionally present in the environment, have not prevented us. We methodically worked to attract new clients and attract credit projects, gave loans and not paying attention to the external environment, to care about the interests and needs of our customers. In general, if you look at the numbers, the loan portfolio in 2013 has grown to UAH 772 mln., or 20%. It is twice more than in the whole banking system of Ukraine.

We did not just increase our loan portfolio, but did so efficiently, due to the implementation of measures to improve the efficiency of the bank. In particular, emphasis was placed on high-margin products: consumer loans, microcredit, loans for small and medium businesses. Sale of these products has allowed us to increase our financial results for last year 10 times.

- How are things going this year, after the first few months were, to put it mildly, difficult for the banking system of Ukraine?
- Indeed, the socio-political instability, soaring foreign exchange provoked nervousness behavior of depositors. Some of them have decided to withdraw their deposits, fearing a repeat of 2008-2009. Both then and in this situation, MEGABANK, PJSC fulfills all the requirements of its customers. On the other hand, we can see that today many investors, reassured, returned to the bank.

- What are the results of the bank for five months of the current year?
-  Net assets of MEGABANK, PJSC on June 1, totaled UAH 6 054 mln., with the beginning of the year, they rose by UAH 616 mln., or 11%. The main factor was the increase in asset growth of the loan portfolio by UAH 695 mln., or 15%.

The bank's equity at the balance sheet date amounted to UAH 692 mln., an increase from the beginning of the year – UAH 16 million., or 2%. Customer demand funds totaled UAH 1,186 mln. Since the beginning of the year, they rose by UAH 43 mln., or 4%.

Such important indicators as the margin and spread, rose from the beginning of the year by 0.5 percentage points to a level of 3.7% and 3% respectively.

Profit for the five months of this year amounted to UAH 14 491 thousand, which is seven times higher than the result last year. That is, we can safely say that the birthday we meet with good performance.

- What are the main challenges facing MEGABANK, PJSC in 2014?
- The main task is to increase our efficiency and improve services. Also, now on the agenda is the "stress testing", because MEGABANK, PJSC became one of the 35 largest banks in terms of assets and the most significant for the economy of Ukraine that are selected among the 180 financial institutions to undergo diagnostic testing, initiated by the International Monetary Fund. This survey provides an assessment of asset quality and adequacy of regulatory capital. It will be conducted by independent audit firms in accordance with the requirements of the National Bank of Ukraine. The diagnosed banking institutions must develop and submit to the National Bank capitalization program. NBU, in turn, will assess banks' resilience to economic shocks and provide for measures to strengthen their balance sheets by banks. It is assumed that, if necessary, the state will also participate in additional capitalization of banks.

In addition, we continue to work with our shareholders to increase the authorized capital, which will give a positive signal to our investors, partners, customers, and will increase the capitalization of the bank.

- What's most interesting for you in your work?
- The most interesting – is the solution of problems that initially seem unsolvable. When you work on them, there is excitement. Best of all, of course, when after the huge amount of work, you realize that it all figured out and did the right thing.

- On the eve of anniversary you probably would like to congratulate your colleagues and partners.
- Of course. I want to emphasize that MEGABANK, PJSC has a very strong team tradition; that is what distinguishes our bank from other business structures. Bank managers have a similar outlook, values – both for business and human. This is the key to our mutual success. So many thanks to all my colleagues for their professionalism, dedication and commitment.

On my own behalf and on behalf of the Board of MEGABANK, PJSC I want to emphasize that all the successes that we have achieved in 24 years of work would not have been possible without our shareholders, partners, customers and friends. Thank you all for your great contribution to the development of MEGABANK, PJSC!