The management of CEO Oleksandr Adarich has brought down the cost-toincome ratio significantly, to 63% in 2007 from 72% in 2006, and introduced a wide range of new products and services to enlarge its market share – it is already the leading player in the Ukrainian mortgage market, with a 17.7% share. To fund this expansion, the bank is undertaking a major increase in capitalisation, which already rose by 61% in 2007.
“In 2007, UkrSibbank proved itself as a prospective lab for fresh business ideas and solutions from the BNP Paribas Group,” says Mr Adarich. “UkrSibbank’s strategic goal for the near future is to become a highly reliable and qualitative financial institution with an innovative vision offering a broad range of services in every essential niche for our customers through our trading network and alternative sales channels such as point of sale, the internet or direct banking. This goal can be reached due to intensification – a process of boosting the customers’ loyalty, exploitation of new cross-selling opportunities and by acquisition of newly banked customers, as well as customers gained from competitors.”
In October 2007, the bank offered what Mr Adarich calls an “innovative blockbuster”: the Active Money program, which is an on-demand deposit with no term, implemented both on current and card accounts.
This product generated sales of more than $150 million in just three months.
