VTB subsidiary Bank of Moscow leads consumer credit market with biggest portfolio growth in 1H 2015
VTB Group company Bank of Moscow (BoM) posted the fastest consumer credit portfolio growth of any Russian lender in 1H 2015. BoM’s loan portfolio increased by 3.4% to RUB 255 billion, even as the market overall posted negative growth. The bank now accounts for 2.38% of the Russian consumer credit market.
Mortgages remain an important segment for BoM, with 5,335 loans worth RUB 10.2 billion issued in 1H 2015. The government’s mortgage support program played a vital role, accounting for approximately half of all loans issued by BoM.
Private deposits increased by 18% to RUB 334 billion in 1H 2015. BoM rose to sixth place in the ranking of the largest retail credit institutions by funds raised.
BoM’s SME business continued to rank in the top three by the number of loans guaranteed by the Federal Corporation for Small and Medium Business Development. A broad range of deposit products enabled the bank to boost the volume of funds attracted from small businesses to RUB 37 billion (up 8%).
"We are very pleased by the retail business indicators in the first half of this year," Vladimir Verkhoshinsky, BoM board member, said. "In addition to upping our market share, we are actively developing our product lines, so today we can offer our customers a range of truly unique products. We will continue to strive to provide highly competitive services while remaining one of Russia’s largest banks. I am confident that the bank’s retail business will continue to grow on all key indicators and will generate a positive financial result for VTB Group."
In the first half of 2015, the Bank of Moscow actively developed its product lines. Customers were offered a unique program to support retail borrowers — the Reduction of Payment program, as well as the Credit Vacation and Reduction of Rates programs allowing for the reduction of the loan balance for customers with good payment discipline. During the reporting period, the bank also launched packaged insurance products that help protect clients’ personal property and children’s health, as well as the Personal Lawyer service. In addition, the bank runs several attractive seasonal offers — The Correct Answer, Quick Income and Pension Income. In May, the bank launched charity Visa cards issue jointly with the Tretyakov Gallery. For every purchase paid for with one of the unique cards featuring images of Russian masterpieces, the bank will transfer up to 1 percent of the amount to the State Tretyakov Gallery Support Foundation.
Press office of VTB Group: