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Kinizsi bank “pass” ratio in lending portfolio under 74%

The ratio of problem-free loans in the portfolio of Kinizsi Bank, a small bank based in Veszprém, has reached 73.8%, chairman-CEO Antal Lakatos said at a press conference.

Special mention loans make up 13.9% of the portfolio, substandard account for 4.5%, doubtful for 4.4% and loss for 3.3%, Lakatos said. The bank has HUF 900 million of reserves, or about HUF 7 for every HUF 100 it has lent, he added.

The bank's total assets exceed HUF 32 billion, Lakatos said. Stock of deposits is at HUF 26 billion and lending stock at HUF 13 billion. Foreign currency-based loans make up just 12% of stock of loans, well under the national average. Corporate loans account for 81% of the stock and retail loans for 19%.

Kinizsi Bank has boosted its stock of deposits by 7% this year, in spite of fierce competition, but stock of corporate deposits fell 18% as companies had less cash, Lakatos said.

The number of retail clients has grown 8% to 17,500 and the number of corporate clients has increased 1% to 4,600. The number of retail clients with internet banking contracts grew 25% and now account for 80% of the total.

Kinizsi Bank is wholly-owned by Hungarian private individuals. (MTI – Econews)