Profile

Russian Agricultural Bank

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, Russian Agricultural Bank’s network of 66 regional branches and over 1,260 additional offices covers over 60% of territory of the Russian Federation and is among top 3 largest branch networks in the country. 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 9M 2019 RusAg’s gross loan portfolio went up 6.9% (+RUB 157.4 billion) reaching RUB 2.448 trillion. Corporate loans (including loans to customers measured at fair value through profit or loss) rose by 7.1% (+RUB 131.7 billion) from YE2018 and totaled RUB 1.988 trillion. Retail loans grew by 5.9% (+RUB 25.7 billion) to RUB 459.9 billion from YE2018.

Deposits and customer accounts in 9M 2019 grew by 0.5% (+RUB 13 billion) and added up to RUB 2.434 trillion. Current and settlement accounts grew 20.5% up to RUB 340.6 billion.

Net interest income edged down by 1.1% to RUB 54.4 billion year-on-year. The contraction was caused by upward repricing of interest-bearing liabilities amid the market conditions prevailing in H1 2019. 

In 9M 2019 RusAg earned a net profit of RUB 4.3 million as compared to a loss of RUB 9.6 billion in 9M 2018.

As at 30 September 2019 RusAg’s equity amounted to 172.8 billion as compared to RUB 151.7 billion at YE2018 (+13.9%) on the back of a RUB 15 billion share capital injection from the federal budget in Q2 2019 and capitalization of net profit in the amount of RUB 4.3 billion. 

Russian Agricultural Bank is among top ten banks of the Russian Federation and ranked No. 248 among Top-1000 banks globally in terms of Tier 1 capital according to the July 2019 issue of “The Banker” magazine.  

Source: IFRS Financial Statements as of September 30, 2019