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Annual reports 01 Feb 2019

Garanti’s contribution to the economy totals 311 billion Turkish lira in 2018

Garanti Bank released its earnings for 2018. Based on its consolidated financials, Garanti’s assets were valued at slightly more than TL 399 billion, and its contribution to the economy through performing cash and non-cash loans totaled just over TL 311 billion. The bank achieved an ROAE (Return on Average Equity) of 15.0 percent and a ROAA (Return on Average Assets) of 1.7 percent.

Commenting on the bank’s performance, Garanti Bank CEO Fuat Erbil said, “2018 was an active year for both the Turkish economy and the banking sector as a whole. We are proud of the role we have played and look forward to maintaining our leadership in the sector in 2019.”

Garanti’s high capital adequacy ratio facilitated the bank’s TL 311 billion contribution to the economy in 2018. The bank ended the year with market share gains in the area of Turkish lira lending products.

We are proud of the role we have played and look forward to maintaining our leadership in the sector in 2019

Over the course of the year, the bank saw a 14 percentage point improvement in its loan to deposit ratio. “Our successful approach consisted of preserving a strong balance sheet, maintaining our leading position in retail loans and credit cards, complemented by a balanced, deposit-oriented approach to financing,” said Fuat Erbil. According to the CEO, proactive management, prudent risk policies, and most especially a capable team also played a vital role in Garanti’s success in 2018.

Garanti’s borrowing program is of significant note and demonstrates the confidence international lenders have in the market in general, and in Garanti specifically. The bank was able to provide financing in excess of 1.3 billion dollars thanks to the largest amount of borrowing—with the longest terms— secured in Q4-18. “We are particularly proud of the our contribution to the local economy and will continue to support the domestic market with the funding we received.”

Garanti CEO also commented on a series of recognitions made by the international media. “Garanti was recognized as ‘Turkey’s Best Digital Bank’ and Garanti Mobile was recognized as ‘Turkey’s Best Mobile Application’ by World Finance Magazine.

Garanti continues with its efforts to enhance its digital channels by the further integration of new technologies

Erbil also reiterated that in 2018, “we completed the transformation of all of our branches so they comply with the branch and service model framework. With this new model, we aim to increase the efficiency of our field structure, offer faster solutions to our customers, and provide a better quality of experience.” In addition to the transformation of its branches, Garanti continues with its efforts to enhance its digital channels by the further integration of new technologies.

Erbil provided assurances that, regardless of macro developments, “Garanti will continue to pioneer the sector’s transformation by focusing on our customers who are the cornerstone of our strategy and with continued investments in our business model. I would like to thank all my colleagues and  all of our stakeholders who trust and support us.”

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