The State Bank for Foreign Economic Affairs of Turkmenistan

 

Partnership for development!

The British financial magazine The Banker has awarded the State Bank for Foreign Economic Affairs of Turkmenistan as the best banking institution of the country in 2020. it has occurred already in the fourteenth time.

Being the agent of the government of Turkmenistan in the international market of capitals, the State Bank for Foreign Economic Affairs of Turkmenistan participates in realisation of all significant investment projects of the country. Structural reforms in economy are carried out, basically, at the expense of traditional bank crediting and attraction of foreign loans to the external bank markets.

The transparency and objectivity which is a criterion of an estimation of reliability of the Bank for partners are provided with accounting under the international standards. The bank was the first to have passed to the financial accounting according to IFRS 9.

The care of reputation in the financial market is supported by cooperation with independent auditors who have proved on the world scene. Their reports state an objective estimation of the Bank. Good and long-term relations with various financial institutions, timely payments under the obligations visually confirm reliability of the State Bank for Foreign Economic Affairs of Turkmenistan.

The bank had fixed solid financial results in 2019, having increased the net profit by 137 % and the capital of the first level by 119 %, and the factor of idle credits made only 1,2 %.

To create reliable business model, the bank worked with the UN Development Program (UNDP) over automation of operations, perfection of management methods. Also work on expansion of networks of cash dispenses and points of sales (POS) and introduction of modern servers was held.

Measures were taken to increase cyber security; as a result of it the independent external auditor agency for maintenance of conformity of rationing systems of bank to the international standards was involved.

Clients have estimated such new products, which have relieved it of necessity to visit bank, as overdraft (a loan of money resources which the holder of credit card) and the online application for reception of the bank credit.

The bank also has introduced co brand card «Milli VISA», integrating national payment system with global and allowing to register safe payments, including a contactless method.

With a view of further expansion of sphere of online trade and clearing settlements, the Bank has introduced new service E-commerce (Internet-acquiring). It allows accepting non-cash payment by bank cards of the international and national payment systems for the goods and services through the Internet page of the seller.

Last years the Bank sped up work on support of the private sector in cooperation with the international financial organisations as a result of which a number of credit agreements with the American company Deere Credit Inc., with fund of the OPEC and with Islamic Corporation for the Development of the Private Sector, entering into the group of Islamic Development Bank has been signed.

The State Bank for Foreign Economic Affairs of Turkmenistan has quickly reacted to pandemic COVID-19, having supported to clients of small and medium business, having reconsidered the schedule of crediting of clients which experienced difficulties with payments. Loans for payment of salary and maintenance of working costs to keep on manufacture throughout the pandemic were also given to companies.

Support of small and medium business is a part of the future plans of bank as it continues to work in cooperation with the Asian Development Bank and Islamic Development Bank over granting of financing for support of these companies and increase in export of Turkmenistan.

Despite competition and instability on the world financial field, throughout many years the State Bank for Foreign Economic Affairs keeps the lead positions in the financial market of the country.

2020 was uneasy as the pandemic COVID-19 stopped the world. The difficult operational environment does winners of competition The Banker’s Bank of the Year Awards this year by Bracken even more deserving an award.

They not only have successfully coped with difficulties, but also have taken care of the clients and employees, quickly reacting to their requirements and increasing support in these hard times.

That is clear from hundreds of applications received this year so it speaks that the investments, which banks did in the efforts in digital transformation, have really paid off and will continue to bear fruit forthcoming years from the point of view of depreciation of service, increase of its quality and maintenance of availability of financial services.