İŞBANK ANNUAL REPORT 2014

ACTIVITIES

İŞBANK

ANNUAL REPORT 2014

In 2014, as in past years, İşbank conducted commercial

banking operations by taking regional needs into

consideration.

Cooperation with professional

associations, industry organizations

and public institutions were

emphasized in 2014.

İşbank further developed its commercial

banking operations in 2014 with an

approach that addresses local needs, much

as it has in past years. To this end, the Bank

continued to cooperate with professional

associations as well as chambers of

commerce and industry. Some highlights

of the Bank’s efforts in this area are listed

below.

İşbank’s cooperation with the Turkish

Pharmacists’ Association (TEB)

maintained. The agreements related to

the Bank’s intermediation of pharmacists’

health insurance payments to the Social

Security Institution (SGK) and to extend

the loans covered by the association’s

Mutual Assistance Fund continued in

2014.

Efforts are ongoing under the protocol

signed between the Bank and the

Agricultural and Rural Development

Support Institution (TKDK) related to the

European Union’s Instrument for Pre-

Accession Rural Development (IPARD)

program, in line with application calls

made by TKDK.

A total of EUR 10 million provided from

the EBRD under the Turkey Agriculture

Financing Facility (TurAFF), which

aims primarily to support agricultural

businesses operating in regions with

limited access to financing options, were

extended in 2014.

In order to increase the Bank’s business

activities in the agricultural sector,

İşbank established Agricultural Banking

Services desks in 14 branches located

in agriculturally intensive markets, in

order to provide dedicated service to

customers in that sector.

In 2014, İşbank started using the

Agricultural Loan Assessment System

(TARDES), launched by Kredi Kayıt Bürosu

(Credit Bureau), in the assessment of

loan demands from customers operating

in the agricultural sector.

The collaboration with the Turkish Grain

Board (TMO) continued in 2014. The Bank

extended loans against TMO receipts

to depositors who had submitted their

products (i.e. corn and rice) to the Board.

A counter-guarantee given by the Credit

Guarantee Fund Inc. (KGF), which was

provided from the European Investment

Fund under the EU’s “Instrument for

Pre-Accession Assistance” program,

extends credit to micro SMEs operating

in 43 cities that have the lowest shares

of contribution to Turkey’s GDP, within

the portfolio limits allocated by the KGF.

Funds amounting to TL 15 million were

released with three agreements signed

with KGF and İşbank under the Micro

Loans to Micro SMEs Portfolio Guarantee

Application. Such funds were extended

to eligible micro SMEs during the year.

Differentiated solutions and products

tailored to meet customer needs

İşbank identifies the regional and seasonal

requirements of enterprises based on the

results of reviews and assessments carried

out in the field as well as at headquarters.

Under the Bank’s efforts to accurately and

effectively fulfill the financial needs of

customers, İşbank introduced the following

products in 2014:

In order to finance the capital

investments of companies operating

in the tourism sector, such as hotels,

guesthouses, travel agencies, yacht

operators, tourist cafes and restaurants,

leather shops and jewelers, the Bank

developed and launched the “ TL

Installment based Tourism Investment

Loan “.

In order to meet the working capital

needs of customers in the beekeeping

business, the Bank developed the

“Beekeeping Business Loan” product.

The “Foreign Currency Loan for Export

with Advance Interest Payment” product

was developed to enable the payment of

interest in advance and principal amount

gain until the maturity date.

In order to increase the Bank’s

competitiveness in the gold sector

and to gain new customers, İşbank

signed an agreement with two of the

industry’s leading companies: Altınbaş

Kuyumculuk İthalat İhracat Sanayi

ve Ticaret A.Ş. (Altınbaş) and Asos

Kuyumculuk Pazarlama A.Ş. (Asos). Under

the agreement, which will be valid for

one year, the financing of gold purchases

of the Asos and Altınbaş dealers, as

selected by Asos and Altınbaş, from

related companies will be provided by

İşbank.

The “Tourism Investment FC Installment

Loan” was introduced to enable

monthly equal installments and flexible

repayment schedule of FC investment

loans extended under tourism sector

loans.

In order to provide export financing to

commercial customers based in Turkey

involved in exports, sales and deliveries

considered as exports, and foreign

currency earning services and business

activities, the “Medium and Long Term

Foreign Currency Installment Loan

for Export” product was rolled out by

the Bank. The product enables equal

installments or a flexible payment plan

longer than 24 months.