CERR: The most active banks of Uzbekistan in the 1st quarter identified
Tashkent, Uzbekistan (UzDaily.com) -- The Center for Economic Research and Reforms (CERR) has developed the Bank Activity Index for 31 commercial banks in Uzbekistan. On the basis of the CERR Index, the rating of banks is updated on a quarterly basis.
The index is calculated according to the following indicators:
• Financial intermediation
• Financial affordability
• Capital adequacy
• Asset quality
• Management efficiency
The study is conducted with the aim of regularly assessing changes in the share of the private sector in banking assets, as well as the effectiveness of reforms and transformation processes in the banking sector.
It is expected that the process of bank transformation will meet the demand of various segments of the population for financial services, provide territorial coverage of banking services and contribute to the implementation of socio-economic programs.
It should be noted that in 2018 more than 4 thousand individuals used remote banking services, and as of 1 January 2021, their number reached almost 14 thousand, which indicates a significant increase in the coverage of the use of digital technologies in the banking sector.
As of 1 March 2021, the assets of the banking system of the republic amounted to 366.2 trillion soums (growth compared to 1 March 2020 amounted to 31.3%), liabilities - 306.6 trillion soums (growth 38.3%), capital - 59.5 trillion soums (an increase of 12.4%). Currently, the banking system employs over 55 thousand people.
The banks were divided into two groups - large and small banks. The rating is compiled separately for each of the groups.
* The group of small banks includes banks operating in Tashkent or only in one of the country's regions.
Rating of activity of large banks for the 1st quarter of 2021
Among 17 large banks, Kapitalbank still holds the lead, having held it since the 2nd quarter of last year.
High results in terms of capital adequacy, profitability and quality of management allowed Kapitalbank to firmly consolidate its position in the overall rating.
In particular, the ratio of the bank's term deposits to the total amount of loans amounted to 78%. The share of funds received from other banks and financial institutions was 3.5%. Despite the fact that the share of funds received from the state (the Ministry of Finance, Fund for Reconstruction and Development of Uzbekistan) increased by 0.8 pp. compared to Q4 2020 and amounted to 1.3%, in the structure of the bank's liabilities, it continues to be one of the lowest indicators.
Trustbank moved up 2 positions in the overall rating compared to the 4th quarter of 2020 and took 2nd place in the rating. Thus, this bank is becoming one of the leading banks in terms of capital adequacy, quality of management, profitability and liquidity. In particular, the liquidity coverage ratio is 5.2 times higher than the norm set by the CBU.
Aloqabank retained its 3rd place in the overall rating as one of the largest banks with a state share. This bank performed well in financial intermediation, capital adequacy and asset quality.
The share of the bank's term deposits in the total volume of loans was 56%, which is higher than that of other banks with the participation of the state share. At the same time, the share of deposits and loans from other banks and financial institutions in the total liabilities of Aloqabank was 26%, and the share of borrowings from the state was 11%, which is lower than the average indicators (17%) of the banking system.
In the overall rating, the highest growth was in the 1st quarter of this year. showed "Microcreditbank" and "Promstroybank" having improved their indicators by 4 points compared to the 4th quarter of last year.
Three leaders in the overall rating of activity of 14 small banks of Uzbekistan in the first quarter of this year remained unchanged compared to Q4 2020. The index was topped by Davrbank, Ziraatbank and Universalbank, respectively.
In terms of financial affordability, Davrbank and Universal Bank showed the highest results. Ziraatbank has become one of the leaders in terms of capital adequacy and quality of management.