Interbank cooperation

In 2004 the Bank "Finance and Credit" continued to extend its correspondent network and to develop the cooperation with the banks of Ukraine and the Commonwealth of Independent States and Baltic States as well as with the financial institutes of the foreign countries.

In 2004 the Bank opened 21 correspondent accounts "nostro" and 32 correspondent account "loro" including such big-scale banks as Citibank N.A. (London), Credit Suisse First Boston (Zurich). According to the data available on the 01.01.2005 the total quantity of the opened accounts "nostro" constituted 91 opened accounts (including 62 in the banks of the Commonwealth of Independent States and Baltic States, 29 in the foreign countries); the "loro" accounts - 227 (193 in the banks of Ukraine).

On level with the standard list of the proposed services and the banking products in 2004 the Bank proposed to the banks-correspondents next services:

• opening and service of correspondent accounts in GBP. Among the advantages of this service - low tariffs for the fulfillment of the payment drafts, interests charge for the rests of funds and the service time - till 3:30 p.m.
• furnishing of guarantees of the fulfillment of obligations clients of the banks-correspondents in favor of the International Transport Association (IATA). The official representative of this company in Ukraine is the International Airlines of Ukraine company.

In 2004 a high emphasis was placed on the development of the interbank cooperation with foreign banks, including the commercial investment, syndicated crediting, definition of banking operations limits. In such a way the Bank "Finance and Credit" actively cooperates with such big-scale banks as the Raiffeisen Zentralbank (Vienna), WestLB (Dusseldorf), Commerzbank AG (Frankfurt), HSBC Bank Alem (Almaty), BNP Paribas (Geneva).

In 2005 the Bank "Finance and Credit" plans to develop the cooperation with its partners - banks-correspondents with the object to improve the assortment of the proposed services and products, to propose entering into the international borrowing markets. The first step in this direction can be the syndicated crediting of the Bank by a number of the international banks-partners. The negotiations about the possibility of furnishing of such credit are already launched and the achieved progress permits to say with optimism about successful completion of these negotiations and furnishing of the syndicated credit to the Bank "Finance and Credit" in 2005. 

The main attainment of the year 2004 - the Bank "Finance and Credit" achieved the level of the "market-maker" for many instruments for Ukrainian banks-contributors and consolidated its status of the bank - net-creditor. Supporting permanently the bilateral quotation of the main market instruments the Bank became one of the leading figurants in the Ukrainian market segment "depo" (USD, EUR, UAH), actively developing the "depo"/SWAP operations (the exchange of deposits in different currencies).

In 2004 the average annual volume of the interbank credits in the Bank's portfolio constituted 84,3 mln. UAH (76,0 mln. in 2003), 17,2 mln. USD (14,3 mln. in 2003), 2,3 mln. EUR (2,1 mln. in 2003).

The quality and the volumes of the conversion operations with the foreign currency (FOREX) increased. Because of the extension of the group of the banks-counteragents and the increase of the credit lines of the big-scale banks of Ukraine (Reiffeisenbank, Kalion, HVB Ukraina), of Russia (Alfa-bank, Promsviazbank, Metalinvestbank), of the European Community (Parex bank), of Asia (Kazcommertsbank, Turan-Alem). The Bank holds the leading positions in the Ukrainian market segment. The volumes of the HARD FOREX operations in 2004 increased by 2,25 times - from 955,9 to 2.152,5 mln. USD.

It is necessary to note the important growth of the volume of foreign currency sales operations with corporative clients. Due to the increase of the clients base, flexible tariffs policy and operating payments conditions the currency purchase and sale during the past year increased by 13,4% or from 419 to 475,3 USD.

Being the direct agent of the Western Union Company and cooperating in the framework of the Western Union program with 29 banks-partners, the Bank proposes services providing the money orders in 429 clients' service points. In 2004 the Bank realized 63,8 thousands of transactions in by means of the Western Union system. 

The Bank proposes the cooperation to the banks-partners. This cooperation foresees the realization of the money orders in the framework of the own AVERS system.

The Bank "Finance and Credit" continue to hold its positions in the market of the banking metals of the import of the banking gold, silver, platinum, palladium, investment coins of different origin and nominal. The Bank cooperates with the most important mint places of the world.

The Bank cooperates in the framework of the operations with banking metals and coins with 11 of 22 Ukrainian banks that possess the respective licenses.

The Bank provides services as for import, delivery and collection of the banking metals of the highest order:

• gold (banking bars 1-1000 gr.)
• silver (banking bars 100 gr.)
• platinum
• palladium

In 2004 the Bank imported to Ukraine 247 kg of the banking gold.

The Bank "Finance and Credit" gives to its banks-partners an opportunity to purchase the investment coins of different par and origin.

In 2004 the Bank imported to Ukraine 5370 golden euro-coins, golden Russian chervonets and silver coins "Sobol".