Russia-based Alfa-Bank, which already operates subsidiary lending institutions in the CIS (Ukraine, Belarus and Kazakhstan), is exploring the option of buying another bank in Belarus. Alfa-Bank Group board chairman Petr Aven disclosed such plans on Wednesday at a meeting with Belarusian Prime Minister Mikhail Myasnikovich, the press service of the Belarusian Council of Ministers reported.
The press service specified that Aven is on his visit in the republic in order “to determine a strategy for further operations” in Belarus.
The Belarusian PM said he is satisfied how Alfa-Bank’s local bank operates. “The bank has been expanding, growth rates are decent. And Belarus is ready to provide support as the bank’s clients are the largest Belarusian concerns with stable operations and strong financials," Myasnikovich pointed out.
Aven, in turn, pointed to serious potential for the group’s business expansion in the country, claiming in this connection that “we want to expand fast and see relevant opportunities to do so. We’re thinking about the purchase of another bank in Belarus”.
According to him, during four years of the banking group’s operations in Belarus its local assets have climbed 11x, the credit portfolio has jumped 15 times and household funds held on bank accounts have leapt 6.5x.
Aven also said the group plans to double its credit portfolio in Belarus. “Right now our limit is around $1 bln, and we’ve exhausted only a third of it. Our strong desire is to boost those $300 mln, which we have lent to date, to roughly $600 mln as early as this year," he noted.
Alfa-Bank is Russia’s No. 1 privately held bank and a core of industrial and financial consortium Alfa-Group. Its beneficial owners are Alfa-Group co-owners Mikhail Fridman, Herman Khan and Alexei Kuzmichev (who control 36.47%, 23.27% and 18.12%, respectively), and also the banking group’s chairman Petr Aven (13.76%), former Alfa-Bank top manager Alex Knaster (4.3%) and Andrei Kosogov (4.08%).
Based on Banki.ru data, as of August 1, 2012 the bank’s net assets totaled Rub 1.11 tln (No. 7 in Russia), capital (calculated in line with CBR requirements) totaled Rub 136.74 bln, the credit portfolio amounted to Rub 774.02 bln and obligations to households equaled Rub 253.35 bln.
According to the website Infobank.by, Belarus-based Alfa-Bank ranked 11th by assets among 32 Belarusian banks as of July 1, 2012.
