JSC «Krayinvestbank»

«The main activity of the Bank is expressed in its name — Krayinvestbank» — CEO M. V. Sharapov

The regional authorities have focused their efforts on the development of financial improvement strategy for the real sector of economy during the last years. The matter of competent attraction and accumulation of financial flows and their direction into proper course has become rather pressing. It was necessary to create the universal, flexible and dynamically developing banking structure, which would be able to support Kuban commodity producers, gives an opportunity to attract a wide circle of Russian and foreign investors to participate in the Program of Economic and Social Development of Krasnodar Region, as well as more satisfying the constantly growing demands of enterprises and population for high-quality banking services.

Joint-Stock Company «Krasnodar Regional Investment Bank» was established by the decision of founders assembly on December 14, 1999, on the basis of the Law of Krasnodar Region of May 15, 1998 No. 131-KZ «On conditions of participation in the authorized capital of the established commercial bank by funds of regional budget» and Decision of the Head of Administration of Krasnodar Region of March 27, 1998 No. 152 «On the measures of occurrence in the authorized capital of the established commercial bank by funds of the regional budget». Registration № 3360.

Krasnodar Region, on behalf of regional state specialized establishment «Fund of the State Property of Krasnodar Region», was the main founder of the bank. The share of the state (Krasnodar Region as the subject of the Russian Federation) accounts for 93,21% of its authorized capital. By the decision of the competitive commission on March 4, 2002 the Bank is empowered to be the authorized credit organization of Administration of Krasnodar Region.

According to the approved Ruling of the Legislative Assembly of Krasnodar Region of October 9, 2002 № 1700-P «On the approval of the Program for state support of small entrepreneurship in 2003- 2005» the loan programs for small business will be realized through JSC «Krayinvestbank».

According to the Law № 530-KZ «On the budget of Krasnodar Region» as of November 5, 2002 the main part of the budgetary funds and budgetary loan resources will be directed through JSC «Krayinvestbank» and its offices in all parts of Krasnodar Region.

The Administration of Krasnodar Region and the Bank have signed the agreement on May 14, 2003, according to which the Administration entrusts and the Bank takes up obligations of the authorized credit organization in realization of separate transactions with funds of the regional budget. Realizing the responsibility of the given status, the Bank proclaims the openness and transparency to be the main principle of its work.

The Board of Directors headed by the first vice-governor of the Administration of the Region determines the strategy and supervises the activity of the JSC «Krayinvestbank».

The bank is actively realizing the plans of development of the branch network solving the topical tasks of financial servicing of the Region. Only due to its presence in every part of Kuban — after opening of more than forty offices — JSC «Krayinvestbank» will become to full extent the financial and credit instrument of the Administration of Krasnodar Region in solving of all vital issues.

At the present time the Bank carries out the full range of services for corporate customers from settlement and cash services to provision of foreign economic links of the Region. The format of the data used in the «Bank-Client» system, allows quite easily to import the information from the external data bases of the client, it simplifies the process of payment documents formation and bank statement processing.

The payments of the clients are carried out «to the day» using the system of electronic settlements through the settlement system of the Bank of Russia and a widely developed network of bank correspondent relations on the territory of Russia.

Krayinvestbank grants both short-term and long-term loans for corporate customers and private individuals. Depending on the kind of activity, purpose of the loan and average monthly turnover the client can be granted with the different types of loans: commercial, consumer loan, overdraft, credit line, acceptance loan, interbank loans.

«Krayinvestbank» gives various bank guarantees to its clients at the rate starting from 0,8% per year. At the present time the sum of guarantees makes more than 100 million rubles. The loan limit for one debtor is up to 92 million rubles.

The Bank distinguishes itself by the growth of credit portfolio. From the beginning of the work the Bank has granted loans of about 1.41 billion rubles. The Bank gives long- term loans and it is certainly a competitive advantage.

Being the participant of the Rostov Currency Stock Exchange, Krayinvestbank renders assistance to corporate customers in sale and purchase of non-cash currency, pays the contracts during one pay day. Due to system of the international financial telecommunications the high-speed exchange of banking information with many countries of the world is being provided.

The main sphere of the international activity of the Bank still remains servicing of foreign economic links of the Region, including payments for export and import operations, export crediting, financing of import purchases first of all with a view of technical re-equipment of enterprises, including actively used leasing. The goal of the Bank in this direction is to become a consolidating and coordinating center for all organizations involved in foreign economic activities in the Region.

Krayinvestbank offers its clients the advantageous allocation of monetary funds into securities, working out the promissory note scheme and taking into account the individual demands of clients to solve the problem of non-payments using both promissory notes of the outside issuers and own promissory notes.

At the present time the projects on «Golden Crown» payment cards is carried out, including the unique non-cash payment project «The City». The bank gives the main emphasis in providing of cards services with the purpose of clients’ attraction. The Managing Company was established to control the funds of the Non-state pension funds and unit investment trusts.

In spite of the long list of the services rendered, the main activity of the Bank is to grant loans to the real sector of economy and to fulfill the investment projects.

The plans of the Bank comprise the participation in the mostly important and advantageous programs for the Region, which will help to solve such vital issues as: building non-polluting waste-processing enterprises, development of mortgage loans. Among the priority tasks is the revival of the wood-processing industry, development of the Black and Azov Sea coast infrastructure, support and development of farms and small business enterprises. Special attention is given to loans and target financing of the agrarian and industrial complex of the Region. According to the Ruling of the Head of Administration of Krasnodar Region, agricultural producers, farmers, leasing companies, road-building companies and other organizations, which has got loans from JSC «Krainvestbank», will have a refund of the difference of interest rates from the regional budget.

JSC «Krayinvestbank» was among the first to join the Association of the regional banks «Russia», permitting to defend its position within the interests of banking community more confidently.

During the complex audit by the Central Bank of Russian Federation in Krasnodar Region, Krayinvestbank received a positive opinion for the two years period of work. Reliability of Bank’s balance, its reports on incomes and expenses is confirmed by the conclusions of the leading auditing company «National Auditing Agency». The main result of the whole period of bank’s work is a positive resolution of the first class international auditing company «Moore Stephens», and this means, that the level of bank’s work meets the world standards, the bank has a reliable credit portfolio and efficient management procedures on the whole.

The bank keeps faith with the chosen and time-proved strategic goal of its development: to render qualitative services in accordance with international standards based on the use of the modern banking technologies, actively widening the branch network all over the Region.