Uniastrum Bank gains Top-10 SME lender slot

In H109 Uniastrum gave out Rb 10.2 bn in loans to small and mid-sized businesses

Fresh date released by RosBusinessConsulting show that, based on H109 results, Uniastrum Bank ranks among Russia’s ten biggest SME lenders. In the first half of 2009, Uniastrum issued Rb 10.2 bn in credits to small and mid-sized business clients, upsizing its corporate loan portfolio 14% to a total Rb 24.8 bn, inclusive of repaid earlier loans.

Over H208 and H109, Uniastrum Bank’s small business lending portfolio doubled in size, weighing in at Rb 2.1 bn as of June 1, 2009. All in all, the sustained uptrend in Uniastrum’s loans to the SME segment is conspicuous: in the three summer months of 2009 alone, the Bank extended more than Rb 1 bn to small enterprises, taking its SME portfolio to Rb 2.8 bn as of September 1, 2009.

Since early 2009 Uniastrum’s corporate lending mix has shown a marked upturn in the foreign currency component. Specifically, the share of dollar-denominated credits in the overall portfolio structure has climbed 15%, while euro loans have increased 5%, minimizing the risks associated with forex fluctuations and simultaneously providing additional income from rate changes. Meantime, viewed in terms of sector, the portfolio breakdown remains unchanged and continues to be dominated by wholesale and retail traders, the service sector, automakers, as well as manufacturers of equipment, wood products, and foodstuffs.

So far this year Uniastrum Bank has added more than 10 new schemes to its range of corporate lending products, paying particular attention to the vagaries of the current economic environment. At present, the most popular is the ruble-denominated U-Business Prime program, which offers businesses upwards of Rb 20 mn for a period of up to 5 years depending on the loan purpose at rates beginning at 15.7% APR. Also in demand is the Bank’s U-Super Prime option for dollar/euro loans of more than 3 mn, repayable over a 10-year period at 10.5% APR. Among small businesses Uniastrum’s most popular lending initiative is its U-Prime scheme, which allows borrowers to access anywhere between Rb 5 and Rb 20 for up to 10 years at 17.7% APR.

“Uniastrum Bank remains committed to helping small and mid-sized businesses by keeping interest rates and monthly payments as low as possible,” says Pavel Neumyvakin, Chairman of Uniastrum’s Management Board. “We offer existing businesses a powerful growth incentive, while at the same time enabling them to branch out into new areas of activity. Uniastrum offers focused and flexible lending solutions, which form the foundation of durable and successful business.”

For more information call or write Olga Kurganova:

744 04 04, ext. 1066

kurganova@uniastrum.com

www.uniastrum.ru