OREANDA-NEWS. April 29, 2011. Private Open Joint-Stock Commercial Universalbank summarized the first quarter of 2011. During this period, its assets grew by 28%. Growth of demand deposits amounted to 72,1%. Also, the base of corporate clients and individuals grew by 1.2% and amounted 17,583 clients.

In early 2011, rating agency Ahbor-Reyting confirmed Universalbank the previously assigned credit rating on a national scale "uzB" with outlook – “Stable” on the monitoring results for the 4 quarter of 2010. This note describes the bank of high capacity to timely and fully meet its financial obligations.

The implementation of operational risk management system to improve both corporate governance and financial performance through the progressive improvement of service quality and reduce the potential risks arising in the daily activities of the bank was launched in the 1Q of 2011.

Universalbank was founded in May 2002 with registered capital of 0.05 billion soums. The bank’s assets as of 1 January 2011 amounted to 33.8 billion soums. Its main customers are small businesses and private entrepreneurship, as well as retail customers.

Last year a massive restructuring was launched to strengthen corporate governance and control of operational risk and increase market share. Structural adjustment processes were carried out in accordance with the Decree of the President of the Republic of Uzbekistan “On priorities for further reform and improve the stability of the financial and banking system of the republic in 2011-2015 and to achieve high international rating indicators” dated November 26, 2010. According to the adopted strategy, the bank aims to become one of the leaders in the segment of medium-sized banks, focusing on servicing the small business and entrepreneurship.

Following the adopted course, Universalbank has been gradually implementing a system for operational risk management (ORM) in line with the requirements of the Basel Committee on Banking Supervision. The aim of the project is to match the UNB with global practice of risk management as an effective tool to streamline and optimize business processes, minimize the potential risks associated with the onset of risk events, improve the ranking of the reliability and credibility of the bank, as well as increasing the investment attractiveness and quality of banking services.

Introduced system enables the bank to realistically assess its operational risks and determine economically justified need for capital to cover operational risks, and develop its models of risk management. In the introduction to the ORM, Universalbank has developed a number of normative documents to define the basic principles and rules of the control system. The automated system of operational risk assessments, made on the basis of the standard method of calculating operational risk, as recommended by the Basel Committee, will assist its work.

Further development of the ORM in UNB assumes an increase in the level of corporate culture among the staff, increase the manageability of business processes, minimize the probability of risk events in business processes and thus improving the quality and reliability to clients of products and services.

To improve services and expand the types of services the bank introduced six new deposit products. For example, in anticipation of the holiday Nowruz Universalbank put in the line fixed period deposit – Nowruz-2011. Individuals can deposit their moneys for 3, 6 and 12 months. Individuals can make contributions to the funds in cash and cashless forms. Deposits are accepted by May 31, 2011 inclusive. The initial fee is unlimited. Interest is paid monthly, not capitalized. Contribution to the deposit can be increased through additional contributions.

Each month Universalbank offers at least 1-2 new types of deposits for population as well as monitors the wishes of investors to improve the conditions of proposed deposits and attracts funds to banking. At present, the bank offers over 20 kinds of deposits in national currency and three in foreign. The bank is a member of the Deposit Guarantee Fund with a 100% guarantee of the return of funds by state.

Universalbank signed agreements with such money transfer systems “Migom” and “Leader,” bringing the number of systems to four. Thus, international money transfer for individuals without an account “Migom,” established by the European Trust Bank, is becoming more popular in Uzbekistan, ensuring maximum speed of money transfer.

Another system “Leader” offers rapid transfer of funds across the globe, as well as receive payments for services and services to various providers. It allows individuals to make addressless translations, ie transfer can be obtained from any system in the country of low-attractive rates – from 0,5% in dollars and euros, as well as track the status of transfer online via the website system. The bank had earlier introduced “Western Union” and “Fast Mail.”