NOMOS-BANK doubles lending to small business in H1 2008 — to 3.5 milliard Roubles

Based on the outcome of the first six months of 2008, NOMOS-BANK has increased the volume of its small business loan portfolio by 110% — to 3.5 milliard Roubles. The proportion of loans to this category of clients in the overall credit portfolio has risen from 1.7 to 2.3%.

“The small business credit portfolio growth is due to improved terms of credit products, introduction of new products and softer criteria applied to the borrowers”, — notes Oleg Lugovoy, Head of NOMOS-BANK Retail Lending Division. Another reason, in his opinion, is the expansion of the Bank’s regional branch network — the volume of loans extended to small business enterprises and companies in the Bank’s branches and supplementary offices has increased by 117% to 2.7 milliard Roubles.

The overall situation on the market also explains the firm demand for small business loans.

"Finance deficit is still estimated at approximately 40%, which provides ground for positive assessments of the prospects for NOMOS-BANK’s co-operation with this client segment, forecasts Oleg Lugovoy.

He has cited retail trade enterprises and service providers, as well as producing companies, as the key consumers of the Bank’s credit products for small business.