MDM Bank had 4.3 bln rubles losses to IFRS in H1
MOSCOW. Oct 16 (Interfax) - MDM Bank closed the first half of 2009 with net losses of 4.3 billion rubles to International Financial Reporting Standards (IFRS), the bank's first deputy general director, Vladislav Khokhlov, said during a conference call.
This is the bank's first financial report to IFRS since it completed a merger with URSA Bank in August.
MDM-Bank had net profit of 2.224 billion rubles to IFRS in the first half of 2008.
Non-performing loans (NPL) accounted for 14.2% of the portfolio.
Khokhlov said the bank could close 2009 with net profit of 500 million rubles, partly due to increased lending. "The bank and management have reached a decision to embark on an active phase of growth," he said.
Khokhlov declined to say how much the loan book might grow this year. But he said the bank had been lending actively to retail clients since the early summer. "We expect to lend 10 billion rubles to retail clients alone by the end of the year," he said.
The bank does not intend to bolster its corporate loan book. "Monthly repayments are approximately 5 billion rubles," Khokhlov said.