Rustem Mardanov: The bank system preserves stability and successfully withstands the crisis

2009 turned out to be better for the bank sector RB than it was expected. But the results are rather contradictory: positive dynamics is observed on several indices and another part demonstrates negative showings. The Chairman of the National Bank RB Rustem Mardanov summed up the results of the ongoing year at the meeting with journalists on Tuesday.

On the all-Russian background the assets of the bank sector RB grow up at advance rates and if the all-Russian growth on December 1, 2009, made about 2%, in Bashkortostan it was equal to 25%. Till the end of the year this tendency will remain the same. The volumes of crediting will also show certain growth but this year they promise to be rather low – just about 3-5%. Population’s deposits grew up by 20%.

As for the alarming tendencies, Rustem Mardanov called the aggravation of the quality of credits as one of such bad news. The growth of overdue indebtedness to banks is registered in Bashkortostan both on enterprises and natural persons.

One more quite natural phenomenon in the crisis period is the reduction of the number of local banks. On January 1, 2009, there were 1343 actively working bank structures in our Republic. By December 1 this number has become 1278. The number of regional credit organizations wasn’t changed. There are 11 local banks for today: “SOTSCREDITBANK” left the market but “My Bank Hypothec” resumed its activity. Some credit institutions closed their offices in the Republic. Others either begin their activity in our region or intend to do it in the nearest future.

SOTSINVESTBANK” is passing the procedure of liquidation now and one more Bashkir bank “BASHINVESTBANK” is passing the procedure of financial recovery with participation of “BIN Bank”.

“2009 wasn’t the best year” – Rustem Mardanov said – “We’ve lost one bank but in general 2009 turned out to be better than we expected”.

Rustem Mardanov doesn’t feel any illusions concerning the end of the crisis:

“The crisis is going on. It stops only after the economics will start growing stably but for the bank system the crisis should be over earlier. We will register it when the crediting volumes will go up and the growth of overdue overdraft will stop too. Now we are still found inside the crisis, struggling with its after-effects”.

The chief banker RB doesn’t exclude the possibility of the second wave of the crisis:

“The problems in the leading world economic structures are still to the fore and the situation with Dubai World Fund shows the statements of the largest financial institutions still have enough assets with shady prospects of their return. Now nobody knows exactly what the volume of these credits is and what their destiny will be. While the problems in economics of the United States aren’t yet solved, we can’t but say the aggravation of the situation is quite possible”.