Odeabank, a subsidiary of Lebanon based Bank Audi in Turkey and a young player in the Turkish banking sector has increased its net assets by 28%, to 32.8 billion TL, as of 3rd quarter of 2015, compared to the last quarter of last year. In the same period, it has given 21% more credits reaching 21.9 billion TL of credit volume. Odeabank, exhibiting a growth rate higher than the sector average, continued to contribute to the growth of the Turkish economy in spite of the uncertainty in the local and global markets and completed the first nine months of the year with a net profit of 36.7 million TL.

Odeabank, the first bank to acquire a new license after 15 years in Turkey and starting its operations in 2012, has exhibited growth performance higher than the sector average in the first 9 months of 2015 continuing its contributions to the Turkish economy in spite of the uncertainty in global markets caused by foreign currency fluctuations and the expectation of an increase in interest rates by the US central bank FED: As a completely new bank, Odeabank has completed the 3rd quarter of the year with a net profit of 36.7 million TL albeit its high investment costs.

Odeabank, a subsidiary of Lebanon based Bank Audi in Turkey and a young player in the Turkish banking sector, has increased its net assets by 28%, to 32.8 billion TL, as of 3rd quarter of 2015, compared to the last quarter of last year. In the same period, it has increased its deposits by 24% to 26.2 billion TL, also increasing the volume of credits given by 21% reaching a credit volume of 21.9 billion TL.

Odeabank Board Member and General Manager Hüseyin Özkaya evaluated the financial results of the first nine months: “We are pleased by the growth in our key performance indicators in spite of the uncertainty in both the local and global market. Especially in deposits and credits we have exhibited a growth performance higher than the sector that is noteworthy because it demonstrates our contribution to the economy. We aim to increase our support for our customers and continue to improve our performance indicators in the remaining part of the year.”

'WE HAVE ACHIEVED PROFITABLE GROWTH, HIGHER THAN THE SECTORAL AVERAGE'

Özkaya pointed out that although the Turkish economy grew relatively well, the growth in the banking sector was slower, adding: “In the third quarter of the year, total credits in the Turkish banking sector increased to 1.44 trillion TL up 5.2% compared with the second quarter while the deposits have increased to 1.26 trillion TL up 7.6% from the previous quarter. In order to increase our support for our customers in tough financial conditions, we have grown above the sectoral average, while keeping our effective risk management principles intact in order to protect our gains and improve our profitability indicators.

Additionally, as the first bank completely new established after 15 years in Turkey, we have utilized our competitive advantage to become the 8th largest private bank in deposits and the 10th in total assets”

'WE EXPECT TURKEY TO GROW 3% THIS YEAR, WITH MORE ACCELERATION NEXT YEAR'

In his statement, Özkaya also assessed current economic conjuncture both in Turkey and across the globe, pointing out that Turkish financial assets have gone through a weak phase in the third quarter because of growth concerns in the global economy and the fluctuations in the local market . He said: “Looking at the initial data from the second half of the year we estimate that growth has slowed down somewhat. This deceleration is due to domestic demand caused by local uncertainties and financial constraints, however we can say that foreign demand is beginning to be restored.”

“As growth in the world economy, especially in the Euro Zone is restored, we estimate that the Turkish economy will resume rapid growth again next year. In this context, we think that our economy will finish off 2015 with a growth rate of 3%, with a growth rate nearing its potential in 2016.”

'THE NEW GOVERNMENT MIGHT INCREASE GROWTH THROUGH REFORMS'

In his statement Özkaya said that the inflation rate is above expectations, pointing out that Turkey can curb inflation through increasing its growth performance by additional structural reforms. He said: “Although we think that the TL will follow a more consistent route in the remaining part of this year, the inflation rate will be higher than expected and the economy will return to a path more consistent with targets in 2016.”

“In the upcoming period we believe that additional reforms required to keep inflation in control and to reinforce economic stability will be implemented. The re-election has increased uncertainties as well as postponing the reform process. Nevertheless after the elections the new government can rapidly begin focusing on reforms and accelerate our economic growth.”​​