2018 Annual Report

Ziraat Bank continued to support the real sector in 2018 by acting with the responsibility required and remained the leading bank of our country according to a wide range of criteria, such as the volume of its assets, loans, deposits and equity, as well as the extent of its branch and ATM network, by facilitating access to finance. Always attaching importance to the sustainability of growth and productivity, the Bank designed and implemented strategies and business plans in line with a management approach based on efficiency. As such, it continued to mediate in the effective distribution of scarce sources of funds.

Expanding its balance sheet by 24% YoY to TL 537 billion, as Turkey’s largest financial institution, Ziraat Bank continues to offer a long-term contribution to both its customers and the national economy with its activities focusing on effectiveness and efficiency. Acting on the principle of sustainable growth, the Bank expanded its cash loan volume by 25% YoY to TL 372 billion and continued to strengthen its shareholders’ equity, which had increased to over TL 57 billion by the end of 2018.

With its vision of supporting every economic activity which adds value to our country, Ziraat Bank has been offering effective financial solutions to housing/construction industry, which has been the leading industry of our economy for years. The Bank keeps adding pioneering solution proposals for the housing industry and adopted a new practice to respond to the needs of both individual customers and housing companies that work with the Bank on credit. Housing producers who have been currently working with the Bank on credit were included in the scope of this practice and customers who buy houses from these companies were offered housing credits at amounts up to TL 500,000 and maturities up to 120 days with low interest.

Maintaining its support for agricultural financing, Ziraat Bank continued its financial support to agricultural sector while developing projects to provide solutions for structural problems of the sector and facilitating access to finance by activities with related institutions and agricultural organizations, primarily with Republic of Turkey Ministry of Agriculture and Forestry. As of 2018 year end, the total amount of credits funded by the Bank’s own sources and credits of funds originated in which the Bank was an intermediary in the agricultural sector exceeded TL 60 billion.

Young Farmers Academy was designed with the cooperation of Ziraat Bank and Ankara University with the objectives of increasing young population’s interest in farming, teaching specific topics in agricultural production and investment, raising financially literate conscious young farmers and creating an awareness of agricultural entrepreneurship. With a belief in the necessity of education to provide sustainable growth and development, agricultural banking has been carried to a whole new level with this project.

Ziraat Bank continued to provide funds through bilateral agreements from leading international financial institutions with the objective of diversification of funding sources and deepening of existing sources. The Bank renewed its syndication loan of USD 1 billion which was due in April with an increasing amount of contribution as USD 1.44 billion. Syndication loan which started as USD 700 million in 2013 with the objective of diversification of non-deposit sources and increasing the market share of foreign trade financing has been doubled. This syndication loan has been the indicator of the capability of Turkish banking industry in obtaining foreign sources without any problems, continuance of foreign investors’ trust in our country’s economy and their investments in our banking sector and our country.

Offering more than what customers ask for in terms of their financial needs, Ziraat Bank launched its new card brand “Bankkart” that combines the features of a bank card and a credit card in one card. The new card brand has been introduced to customers after a long period of intensive studies and it stands out with its unique features.

Ziraat Venture Capital (Ziraat Girişim Sermayesi Yatırım Ortaklığı Anonim Şirketi) was founded in 2018 with the objective of making venture capital investments in companies which design technological products, have potential to create value and at the same time with potential of increased value through capital contribution and management support. Based on the result of “The Most Valuable 500 Bank Brands-2018” survey conducted by Brand Finance, an independent brand valuation and strategy consulting firm, Ziraat Bank has been selected as the bank which increased its brand value most in Turkey in 2018, as in the prior year. The Bank has been selected as Turkey’s most loved bank at “Turkey’s Lovemarks” survey in 2018, just like in 2016 and 2017.

With an asset size of more than half a trillion, Ziraat Bank is the largest financial institution of Turkey and it will continue to provide long-term contributions to its customers and our country’s economy with its efforts focusing on effectiveness and efficiency.