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Kuveyt Türk has closed the year 2017 with a net profit of 674 million TL

Kuveyt Türk Participation Bank has increased its net profit for the year 2017 to 674 million TL by an increase by 24,4 percent compared to the previous year.

14.02.2018

Kuveyt Turk’s total assets and shareholders equity have reached 57,1 billion TL and 4,6 billion TL, respectively. Offering its innovative credit card, Saglam Card and establishing the Quild Entrepreneurs Center in 2017, Kuveyt Türk has also introduced many other novelties such as Send Money to Mobile, QR Code Money Withdrawal and 5/24 Treasury.

Kuveyt Türk Participation Bank disclosed its financial results for 2017. Kuveyt Türk Katılım Bankası A.Ş. has increased its net profit for the year 2017 to 674 million TL by an increase by 24,4 percent compared to the previous year. Contributing to the improvement of the participation banking market through its innovative products and services,  Kuveyt Türk has reached a fund size of 39,9 billion TL increasing by 24,9 percent compared to the end of 2016. On the other hand, the fund size made available by the bank is 38 billion TL with an increase of 26,8 percent. Kuveyt Turk’s total assets and shareholders equity have reached 57,1 billion TL and 4,6 billion TL, respectively.

50 percent increase in digital customers

Mr. Ufuk UYAN, Kuveyt Türk’s CEO told in a statement related to the year-end financial results, “We have left 2017 behind with successful results. We have enjoyed a year during which we continued our growth without compromising our innovation vision, values and sound banking principles. We have reached 399 branch offices throughout Türkiye. KT Bank AG, the first and only Turkish bank that we have established in Germany as a 100 percent subsidiary of Kuveyt Türk, has opened its 4th branch office this year. We continue our growth with an elevated acceleration on mobile and digital technology in an effort to offer smooth and easy services to our clients. The number of the clients using our digital banking services exceeded 700 thousand with an increase of 50 percent compared to the end of last year.

A year full of innovations

Stating that they have introduced a number of innovative products and services in addition to the increased market share in 2017, Mr. Uyan commented, “We have introduced Saglam Card, our new generation credit card by taking the shopping needs of Turkish people into consideration.  We have broken our own sukuk record by completing the largest ever of lease certificate (sukuk) issue in TL to qualified investors in the private sector in Türkiye. With an important cooperation with Workinton, we have opened Guild Entrepreneurship Center for startups. We have introduced a number of innovations such as ‘İyi ki/Fortunately’ employer brand, my basket benefit package, banking school, API market platform and many other services including 5/24 Treasury, Send Money to Mobile and QR Code Money Withdrawal. We are concerned with the risk management and asset quality. The fact that NPL rate of our Bank has decreased to 1.85 percent as of the end of 2017 even below the banking sector average of 2,95 percent  is an outstanding development in this respect.”

1.8 tons of gold channeled into the real economy

Emphasizing that they had made an efficient use of KGF-secured funds (Loan Guarantee Fund) in 2017 and that they had provided financing of 3,8 billion TL , Mr. Uyan stated, ”  In 2017, we have collected gold 35 percent more than the last year channeling around 1,8 tons of gold to the real economy, and the total size and value of the gold account held with our bank reached 17.9 tons and around 2,8 billion TL, respectively. Innovative, dynamic and change-pioneering, our bank will continue to contribute added value to the Turkish economy with its sustainable growth vision and lead our sector with its vision for digitalization in 2018.”

KUVEYT TÜRK KATILIM BANKASI IN 2017

New Turkish record in Sukuk

Completing the lease certificate (sukuk) issue for a total amount of 2.3 billion TL in 2017 with an increase of 35 percent compared to the previous year, Kuveyt Türk has broken the record in Türkiye by carrying out the “lease certificate issue of the largest ever amount in TL in a single transaction in the participation sector” by issuing the lease certificates of 400 hundred million TL for a tenure of 106 days in September 2017. On the other hand, KT Sukuk Varlık Kiralama A.Ş., a 100 percent subsidiary of Kuveyt Türk, has acted as intermediary for the lease certificate issues of DRD Filo Kiralama and Toprak Mahsulleri Ofisi (Turkish Grain Board) for a total sum of 150 million TL.

Non performing loans (NPL) rate of Kuveyt Türk has been reduced to 1.85 percent as of the end of 2017 even below the banking sector average of 2,95 percent , thanks to its efficient risk management accompanied by sustainable growth and tough asset quality. On the other hand, the coverage rate has risen to 93,4 percent with a record-breaking increase of 15 percent compared to the previous year.

Full support to entrepreneurs

Speeding up its efforts toward the entrepreneur banking, Kuveyt Türk has established Guild Entrepreneurs Center in September 2017 in an effort to ensure that the entrepreneurs with technology-oriented and scaleable business ideas are able to convert their project ideas into a sustainable model and profit-making activity swiftly. The Center aims at providing the entrepreneurs of viable ideas with funding and mentoring toward their targets and at increasing the sustainable welfare and production capacity of the national economy.

The most comprehensive API Market in the banking sector

Fully interested in digitalization and innovation, Kuveyt Türk introduced the most comprehensive API Market in the Turkish banking sector in September 2017. The Bank has initially made 25 APIs available for use by the developers providing an outstanding opportunity for the entrepreneurs and FinTech developers to develop new applications more easily and quickly.

Forex and gold trade 5/24 with favorable margins

Solving the issue of higher margins between buying and selling prices of foreign currencies and gold during the non-business hours, Kuveyt Türk has introduced the service enabling the clients to trade in foreign exchange and gold with “favorable” margins at any time during the business days of the week, as from September 2017. Thus, the clients are now able to buy or sell foreign exchange or gold day or night via internet and mobile branches, ATM, XTM or call centers of Kuveyt Türk without needing any special application.

Money Withdrawal with QR – Send Money to Mobile

Offering best possible solutions and innovative services to its clients that aim to pioneer the participation banking since its establishment, Kuveyt Türk has also launched new applications such as Money Withdrawal with QR, Send Money to Mobile in 2017.

School of Interest-Free Banking

Kuveyt Türk that attaches great importance the development of personnel as well as efficiency continues its investments in training technologies. As part of these efforts, Kuveyt Türk has opened Kuveyt Türk Banking School, another breakthrough development in the interest free banking, in 2017.

Awards crowning the success

Kuveyt Türk has been awarded “Best New Generation Credit Card” for Saglam Card, its new credit card in the “Best Islamic Finance Houses of World” contest organized by Global Finance Magazine. In addition, the bank has also been awarded the “Best R&D Center” in Banking and Finance Sector during 6rd Private Sector R&D Centers Summit hosted by Science and Technology Directorate of Turkish Ministry of Science, Industry and Technology. Kuveyt Türk has been ranked the first and second in separate categories at Finance Technology Awards 2017 where the best finance technological projects have competed.