On the 27th of October, within the framework of a visit of VTB Management to Armenia, a press conference was held to mark the launch of a new brand of the Bank Group – VTB.
Through developing its activities in Armenia, the VTB Group will enhance the efficiency of servicing Russian customers` business in Armenia, effecting foreign trade settlement, and implementing foreign trade cooperation programmes between Armenia and Russia.
To expand operations of the VTB Group in Armenia, VTB acquired in 2004 a 70% + one share interest in Armsberbank, which is currently operating under the VTB Bank (Armenia) name. This financial institution has gained solid positions in corporate business. As of 01.07.2006, it is ranked 1st in the national banking system in terms of lending volumes with a 14% share.
In the retail market, VTB Armenia is the second largest bank of the country in terms of household deposits raised, with about a 10% market share. The regional network of VTB Armenia is the largest in the country; it consists of 100 branches and covers actually the whole of the country`s territory.
Business development of VTB Armenia implies more finance to be channelled into the national economy. The Bank plans to gain a 20% market share in lending to corporate customers and 15% - in attracting new corporate customers. Moreover, a product line for retail customers will also continue to develop, with simultaneous efforts in SME servicing.
Citing Vassily Titov, Senior Vice President, Member of the Board, «a transit of bank-members of the VTB Group in Russia, Europe, Asia, Africa and the CIS to operating under a single brand is an important step within the framework of further integration of VTB activities, an instrument designed to strengthen competitive edge of the VTB Group in national banking markets, including that of Armenia».