Financial results and perspectives

PASHA Bank published the results of its financial activity for the last year of 2009 and outlined further steps directed at reinforcing its standing as a large and strong corporate bank in the banking market of Azerbaijan.

PASHA Bank retained its position as one of large commercial banks with the shareholder's equity amounting to AZN 126.570 thousands. As the result of strategic decision aimed at asset portfolio diversification, the Bank managed to maintain the balance of services provided to customers. The total assets of PASHA Bank reached AZN 306.433 thousands by 2009 year-end, displaying an increase of 55 % in comparison with 2008.

The total amount of Bank's credit portfolio has grown 2.6-fold and reached AZN 122.080 thousands compared to AZN 46.225 thousands back in 2008.

The 2009 net profit of the Bank increased 49% in comparison to 2008 and reached AZN 16.059 thousands, which enabled to boost the bank's capitalization. At the year-end 2009, PASHA Bank is one of the top five the most profitable banks of Azerbaijan.

The interest income of the Bank amounted to AZN24.384.000, whereas non-interest income grew 2.3-fold up to AZN 2.639 thousands. Negotiations with international financial corporations resulted in rendering to PASHA Bank's corporate customers a greater range of commercial financial services. The trade finance portfolio increased almost a 2.6-fold over the year: from AZN 10.000 thousands in 2008 to AZN 25.614 thousands in 2009.

In general, the year 2009 for PASHA Bank was a milestone marking the completion of the first strategic development phase aimed at reinforcing the bank's positions as a corporate institution that provides a broad range of services to its corporate customers involved in international business activities. During the past year, the bank gained a foothold in the market as a strong partner for companies with transparent and sustainable management irrespective of their size.

PASHA Bank intends to provide new modern products and services in the Azerbaijani market, including those within the framework of project and trade finance-related cooperation with international financial institutions and foreign banks. By the end of 2010, the bank is planning to double its trade finance portfolio up to AZN 60.000 thousands, which will create new opportunities for existing and potential customers from the SME sector.

PASHA Bank's credit portfolio is expected to grow up to 40-45% of the total amount of assets by the year end 2010.

PASHA Bank's development strategy envisages opening branches in the main regions of Azerbaijan like in Ganja-Gazakh, Zagatala, Guba-Khachmaz and Masalli-Lankaran, which would ease using PASHA Bank's services at a regional scale.

Today PASHA Bank has a central office as wells as branches in Bridge Plaza and Shuvelan Park business centers. Furthermore, another branch office will be opened at Port Baku by the end of this year.