Tashkent Institute of Finance Faculty finance

Placemant:43 Muqimiy ko'chasi, Тошкент 100096





Missions of Agrobank

Bank provides comprehensive banking services to all businesses and individuals, as well as specific sectors: agribusiness, industry, construction, transport, trade, and other sectors of the economy, the relevant economic entities of small business, and farms and individual entrepreneurs.

The main task of the Bank is the implementation of all the possibilities for a permanent increase in equity capital and borrowed funds in view of foreign countries. Expanding forms and types of banking services for a particular sector of the economy, small businesses, individual entrepreneurs and individuals, turning them into real partners justify the high confidence of depositors in the banking system, activation of the intermediary role of the Bank in the financial market and the achievement of its financial independence, competitiveness in domestic and international markets. In order to deepen reforms in agriculture and further liberalization of the Bank provides financial partnership in farming as the most promising and effective form of economic activity in rural areas. He develops best practices to provide broad financial services to agricultural enterprises and farms in favorable terms and conditions.  Our country’s economy grew at rapid pace, and substantial work was done last year for further strengthening of the bank sector’s liquidity, and strengthening its stability.

Positive changes had also been achieved in banks’ lending and invesment activity.  Total volume of lending to the real sector of economy has been increasing year after year. Decrees and resolutions of our President serve as policy directions in these positive changes in our national economy.

Nowadays, one may without exaggregation state that the Open Joint-Stock Commercial Bank “Agrobank” has also contributed considerably to the growth of economic indications of our country. During 2016, Agrobank had been undertaking  consistent measures for performing the objectives set based on the priority directions of the country’s economic development, further increasing the bank’s capitalization and investment activity; further expanding the volume of lending aimed at modernization of production; and creating new jobs. As a result of undertaken measures, shares for total amount of UZS 50 billion were issued and fully placed, and the Bank’s authorized capital reached UZS 367.6 billion.

The Bank’s resource base amounted to UZS 3,418 billion and assets amounted to UZS 3,883.3 billion. As a result of intensification of attraction of population’s available funds to deposits, volume of deposits grew by 140 percent against the beginning of the year, and certificates of deposit in amount of UZS 85.4 billion were placed.

Special attention was paid to financial support of agricultural complex, increase of industrial production, agricultural production and processing, and financing of farms, and loans in total amount of UZS 1,384 billion were extended. Loans in total amount of UZS 355.4 billion were extended last year to support the small business entities and private entrepreneurs.

51,255 new jobs were created due to expansion of existing production capacities and implementation of new projects. The Bank further strengthened its relations with international rating agencies and international financial institutions.

The Bank will continue implementing its strategic business plan and further ensure the Bank’s stability and efficiency according to international norms and standards, and put all its efforts and resources to expand the range and scope of rendered services, to support financially the enterprises of real sector of the economy, to develop small business and private entrepreneurship, and to strengthen material and technical base of dekhkan and private farms.

By presenting the Bank’s annual report to your attention, I thank you for your continued cooperation with us.

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  To co-ordinate and supervise the grant of credit from public funds for agricultural purposes by the various persons or bodies of persons whether incorporate or unincorporate;
  
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  To provide financing, advances, and other credit facilities for the development of the agriculture sector and agriculture related business;
  
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  To mobilise savings with particular regard to the agricultural sector and in furtherance of this object to accept savings and time deposits;
  
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  To uplift the well-being of the agricultural community; and,
  
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  To carry on the general business of a modern and progressive financial services institution catering for the total financial needs of its customers.
  

Main indicators of its activity.

Based on the priorities of the country's economic development, there have been taken consistent measures to further improve the capitalization and investment activity of the bank, to revitalize priorities of structural transformations in the economy, to expand the volume of crediting, technical and technological upgrading of production. As of January 1, 2016, assets, being one of the indicators of the bank's financial stability, were 3192.5 trillion UZS, amounting to 293.4 billion UZS compared to the previous year or by 110.1%. At the same time, income-generating assets amounted to 2436.2 billion UZS and the non-profitable assets totaled 756.3 billion UZS. It should be noted that the amount of income-earning assets is 230.9 billion UZS compared to the beginning of the year and non-profitable assets increased to - 64.2 billion UZS. Share of income-generating assets in total assets increased from 75.8% to 76.0%, while the nonincome assets decreased from 24.2% to 24.0%.

Credit portfolios of legal entities and individuals in the financial market were 69.4% out of total credit portfolio, up 15.8% or 302.2 billion UZS compared to the beginning of the year. and totaled 2213.4 billion UZS. Investments made by the Bank's own capital accounted for 72.5 billion UZS and amounted to 0.8 billion UZS compared to the previous year or up to 101 per cent. For restructuring, modernization, technical and technological renovation and creation of additional business enterprises in the economically insolvent enterprises, 14 banks have been accepted into bank accounts. In all economically insolvent enterprises, which have been recovered on the balance of the bank, production activity was restored and evaluated to 76.6 billion UZS on the market value and was sold to potential investors to 80.0 billion UZS.

Based on today's business plan, 117.8 billion UZS were invested in restored businesses. A volume of production made up 22.9 million UZS was exported. In order to support small businesses, the Bank invested over 930.6 billion UZS, and more than 13.5 thousand new jobs were created at the expense of these loans. Bank's resource base is 3105.7 billion UZS, and amounted to 372.9 billion UZS compared to the previous year or by 13.6%. At the same time, targeted borrowed funds from international financial institutions, foreign banks and various savings accounts for 10% of the total resource base or 317.0 billion UZS. Aggregate capital of the bank is 469.7 billion UZS, amounting to authorized capital of the bank is 317.6 billion UZS and compared to the previous year increased to 54.1 billion UZS. As of 1 January 2016, total amount of deposits in the amount of 1538.1 billion UZS was increased due to increase in volume of deposits from population and business entities by 2.5 times in 2011-2015 in order to implement the tasks specified in Decree No. DP-1438 of the President of the Republic of Uzbekistan. Deposits of legal entities made up 436.3 billion UZS or 28%, as well as deposits from population and plastic cards amounted to 1101.9 billion UZS or 72%.