Gregory Krasnov, Platinum Bank
- Name: Gregory Krasnov
- Vocation: CEO Platinum Bank
1. Please give a brief overview of your operations in Ukraine?
Platinum Bank is one of the fastest growing and liquid retail banks in Ukraine serving 500 000 clients. Our strategy is focused on the rapid organic growth and acquisitions. Platinum Bank is now present with bank branches in every major Ukrainian city. And its network will enjoy a further boost in 2011 via acquisition of Home Credit Bank (Ukraine). Home Credit Bank (Ukraine) has 21 branches and nearly 65 000 customers which are now joining Platinum Bank. The integral part of our brand is sustainable development, being corporate social responsible is in our everyday actions. Either introducing a new product or a business we evaluate the responsible factor of the initiative. That is what we call value-oriented management. In our CSR strategy we are trying to create local relations around our branches by helping people - opening computer classes for children education in orphanage. One of the most popular our program is financial education for children – more than 2 000 children have already learnt interesting tips about money visiting Platinum Posidelki.
2. How would your company like to develop in Ukraine in the future?
The first priority for us is to meet the needs of Ukrainians for getting money to solve their life issues. And we are happy to reach TOP-20 banks in accord to consumer loans in UAH (consolidated loan portfolio - UAH 770 645 mln). We are also working under the introduction of simple and attractive products for small and medium enterprises. As these small companies drive the country economy and do need banking support. As we are constantly communicating with our customers in branches and via social networks we know what they really need. Therefore in 2011 we are launching simple and user-friendly Internet banking which will provide the possibility of full financial management from home. Our clients will be able to make different payments, to open deposits and etc.
3. The financial crisis had a serious affect on companies world-wide. Could you explain how the crisis has affected your operations in Ukraine?
Anticipating the crisis toward the end of 2008 and its impact on Ukraine, the bank's management team was able to adapt rapidly to the negative economic environment and continue to grow the business. As a result, due to good risk management Platinum Bank remains Ukraine's most profitable and best capitalized bank. In terms of delivering returns to shareholders, Platinum Bank achieved a 9% ROE in 2009 and 11,5% ROE in 2010. This stability was recognized by the award of a long-term investment credit rating of uaA, ranking it among the most reliable banks in Ukraine.
4. If you could make three reforms to your industry in Ukraine, what would they be?
As for banking sphere the most crucial issue is risk management. Adequate risk evaluation is the key to success. Scoring system, effective work of credit bureaus is what all the banks need. Effective risk management can be like "a window to America" for the Ukrainian market. Important reforms should be taken in minds of Ukrainians. It is essential that we learn the notion – responsibility. Being responsible in every our actions – with partners, family, banks – will greatly influence not only banking sphere but the whole country. The other important thing to have is basic financial knowledge. Due to the research taken by USAID in 2010 only 40% of grown-ups have good or satisfactory financial knowledge. Platinum Bank started this reform in 2010 by launching of financial program for children, Platinum Posidelki, as we believe that children will drive their parents for self-education and children are our future who will be able to support the reform. Of course, just one bank can't change the history, but we are doing the first steps and are happy to share our experience with other market players.
5. How do you see the year ahead in Ukraine? Are you broadly optimistic or pessimistic and why?
We observe slow market recovery but we do not expect that the end of 2011 should be consumer loan driven. Those banks which stopped crediting in the crisis now do not know their customers. It is like meeting a stranger in darkness. You see only the silhouette but you are not sure who is standing in front of you. As for Platinum Bank we still see great opportunities. We have the strength to take adequate risks and the ability to think innovatively while working hard, and our team truly shares Platinum values. And all these factors give us strong confidence to be objectively optimistic!
