Anod Bank
From Mongol Studies Online Reference
Anod Bank is a commercial bank with headquarters in Ulaanbaatar, Mongolia. It consists of a network of 26 branches located throughout the Mongolian capital and eight aimags that serves approximately 97,000 customers and employs over 500 individuals. The Bank’s assets reached MNT 349.402 billion as of December 2007.[1]
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[edit] Corporate History
Anod Bank was established in 1999. Its growth has been in part due to its innovations in the banking sector. For instance, in 2001, the Bank became the first to introduce the first chip card in Mongolia, the Tsahim Tugrug card. By 2003, RS Bank, an automated banking systems program, and Anod Forex, a currency exchange program based on the internet, were introduced. The following year, it fully automated its accounting system, allowing all branches to provide online services. In 2005, the Bank launched a Mobile Banking program as well as an internet savings program known as the Apple Account.
Furthermore, in 2004, Anod Bank became the first bank in Mongolia to introduce investment banking operations.[2]
In 2005, the Bank, in cooperation with the Balloch Group (an investment and financial advisory firm based in Beijing and Toronto), established the first investment banking firm in Mongolia, “Mongolia International Capital Corporation.”[3]
On April 30, 2008, Anod Bank began to issue its Initial Public Offering, thus becoming a public company. The bank sees this as a possibility for not just the Bank, but the country to raise funds through domestic and foreign exchange markets, thus utilizing non-expensive financial resources. [4]
In total, it offered the public 49 percent of its total assets. Within five days, orders were placed of MNT 19.3 billion, which is a milestone in Mongolia’s financial history, as such a considerable amount has not been traded in such a short period of time.
In 2006, the Government of Mongolia and the Mongolian National Chamber of Commerce and Industry awarded the Bank with the “Best Bank of 2006” award.
In 2007, total equity increased by 32 percent to MNT 17.1 billion, increasing from MNT 12.912 billion in 2006. Deposits in also increased to MNT 327.12 billion and the Bank’s loan portfolio increased by 19 percent from 2006 to MNT 143.6 billion. Profits before taxes have now reached MNT 2.1 billion, increasing by 89 percent from the previous year, while profit after taxes increased to 1848.2 million from 693.3 million in 2006.[5]
[edit] Corporate Products
Anod Bank divides its operations into two segments: corporate and retail markets. Categorizing loans by sector in 2007, road infrastructure loans account for 31.24 percent of all loans, mining sector loans for 27.75 percent, trade loans for 17.88 percent, construction loans for 5 percent, processing factory loans for 3.15 percent, and other loans account for 14.98 percent of all corporate loans. The retail banking department issued loans of MNT 55.8 billion, of which business loans accounted for 56 percent, customer loans accounted for 29 percent, project loans accounted for 15 percent, and investment loans accounted for 1 percent of total retail loans.
The bank issued loans amounting to MNT 546.7 million to 59 businesses in order to support small and medium enterprises, as well as MNT 891.9 million to 472 entrepreneurs who provided employment to vulnerable and/or unemployed individuals, and MNT 5.3 billion for loans to 16 companies that are part of the “Investment and Development Fund.”[6]
[edit] References
- ↑ Anod Bank. Anod Bank 2007 Annual Report. Retrieved on 2008-07-28.
- ↑ Anod Bank. About the bank. Retrieved on 2008-07-28.
- ↑ Mongolia International Capital Corporation. MICC History & Vision. Retrieved on 2008-07-28.
- ↑ "Anod Is Issuing Its IPO." Anod Bank. Retrieved on 2008-07-28.
- ↑ Anod Bank. Anod Bank 2007 Annual Report. Retrieved on 2008-07-28.
- ↑ Anod Bank. Anod Bank 2007 Annual Report. Retrieved on 2008-07-28.
