Russian Agricultural Bank (RusAg) is a 100% state-owned bank regulated by the Bank of Russia. RusAg is one of the leading financial institutions providing lending support to Russian agribusiness.
Russian Agricultural Bank has a unique mandate to act as the State agent to implement the Government’s financial policy in the domestic agribusiness sector. RusAg plays a key role in the implementation of the State Program on Agribusiness Development. The Bank’s development role is based on its good knowledge of the Russian agribusiness sector. RusAg offers a diversified product range designed to satisfy the demand of the target market segment and to match its wide regional coverage. The Bank also engages in other Government sustainability programs focused on social aspects.
Today, RusAg’s network of 66 branches and over 13 thousand access points covers over 80% of the territory of the Russian Federation and ca. 100% of country’s rural areas. The Bank holds the third position among largest bank POS networks in Russia. RusAg’s local presence provides a significant marketing advantage and access to regional client base.
Russian Agricultural Bank provides banking services nationwide to over 6.6 million clients. The Bank’s policy is to make the whole range of banking services available to its clients both in urban and rural areas.
In H1 2021 RusAg’s gross loan portfolio add up RUB 57.6 billion (+2%) and amounted to RUB 3.028 trillion. Corporate loans (including loans to customers measured at fair value through profit or loss) rose by RUB 12.8 billion (+1%) from YE2020 and totaled RUB 2.420 trillion. Retail loans grew RUB 44.7 billion (+8%) to RUB 608 billion.
Deposits and customer accounts in 6M 2021 grew by RUB 152.7 billion (+5.3%) and totaled RUB 3.015 trillion. Corporate customer accounts amounted to RUB 1.593 trillion (+4.8% or RUB 72.9 billion), retail deposits and customer accounts grew RUB 79.8 billion (+5.9%) from YE2020 and amounted to RUB 1.422 trillion.
The share of customer funding in the Bank’s total liabilities stood at 82.8%. Loan-to-deposit (LTD) ratio was 100.4% as of 30 June 2021.
In H1 2021 RusAg’s assets totaled RUB 3.877 trillion (+1.5% or RUB 57.6 billion).
Net interest income amounted to RUB 43.6 billion (up 12.6% from RUB 38.7 billion in H1 2020), while net fee and commission income was up 79% to RUB 16.2 billion compared to RUB 9.0 billion for the same period in 2020. Net interest margin stood at 2.4%. In the reporting period, the Bank’s Cost/Income ratio (operating expenses divided by net operating income (before allowance for credit losses)) stood at 57%.
In 6M 2020 RusAg earned a net profit of RUB 13.1 billion compared to RUB 1.4 billion in H1 2020.
The Bank’s equity amounted to RUB 237.7 billion as of 30 June 2021. Capital adequacy ratio (N1.0) (under the Bank of Russia requirements) stood at 13.8% as of 1 July 2021.
Russian Agricultural Bank is among top ten banks of the Russian Federation and ranked No. 270 among Top-1000 banks globally in terms of Tier 1 capital according to the July 2021 issue of “The Banker” magazine.
Source: IFRS Financial Statements as of 30 June 2021