Interview with Samir Musayev, head of Bank VTB (Azerbaijan) Corporate Business Lending Department
20 October 2017
More and more entrepreneurs and business structures of Azerbaijan are putting into reality plans on entering into foreign markets. The right-chosen bank plays an important role in realization of those plans – companies need high-quality and guaranteed banking services both within and abroad of the country. In such cases it is convenient to work with banks with international network. Currently, in Azerbaijan there are several banks with such capabilities, and one of them is Bank VTB (Azerbaijan). Today, Bank VTB (Azerbaijan) in accordance with its strategy pays special attention to development of corporate business. Samir Musayev, chief of the Bank’s Corporate Business Lending Department, told in an interview what products and services the Bank offers for businesses and why the business should choose VTB (Azerbaijan). - What are the advantages of working with Bank VTB (Azerbaijan)? - In the first place, it is belonging of VTB (Azerbaijan) to international financial group VTB. The fact that VTB, one of the leading banks of Russia, has numerous branches and offices in different countries, presents additional benefits for customers in Azerbaijan as well. We offer a wide service network for customers in Azerbaijan and other CIS countries, Georgia, Cyprus, Austria, France, Germany, China and India. It is certainly convenient for entrepreneurs having international business relations. Cooperation with VTB (Azerbaijan) is entering into global markets. - Does an entrepreneur, being a client of VTB (Azerbaijan), have any advantage in other VTB subsidiaries? For example, can he get a loan from Bank VTB in another country? - Of course, favorable conditions are offered for customers of our Bank in other offices of VTB as well. For example, the fee on international settlements in banks of VTB group is much lower. A remittance to an account at a bank of VTB Group will be much cheaper than a transfer to an account at another bank. This is just one of the benefits we offer to our customers. As for lending from other banks of VTB Group, - we have such experience, when large loans were provided at the expense of the balance of the parent organization. - What products does Bank VTB (Azerbaijan) suggest for corporate customers? - We offer a wide range of products and services for corporate clients– from deposit to documentary operations. One of the most popular products is now deposit ‘Flexible’, because of its convenience: deposit term can reach 12 or 24 months and allows placing money in manats, US dollars and euro. At the same time the interest rates on deposits are attractive. And the chief thing is that the customer is able to withdraw money from the deposit partially on the condition of maintenance of the required minimum balance. Thus, the customer can use 50% of his deposit finances. Also, the Bank suggests profitable loan conditions for legal entities and individual entrepreneurs. Our Bank offers overdraft lending which is very popular among entrepreneurs. This is a short-term loan product with a term of 1 to 30 days, which is given automatically in case of shortage of funds that occurs because of the time gap in the turnover of funds on client’s settlement account. The getting an overdraft the Bank’s customer fills in the form and sets a limit. For entrepreneurs who are not clients of the Bank are required to present a certificate of balance of account at another bank, and after the confirmation of a possibility of providing a service - to open a current account at Bank VTB (Azerbaijan). This product is offered on the simplified procedure and minimum package of documents. Decision-making and the overdraft are carried out promptly, in a very short time. Another popular financial instrument for entrepreneurs, especially for those who have trade relations abroad, is documentary operations - letters of credit and bank guarantees. Documentary instruments are convenient as they combine settlement, guarantee and credit functions, allowing you to create complex structures of transactions, taking into account the interests of various parties. Our Bank carries out all types of documentary and guarantee transactions in manats and foreign currency. Our clients come to us for advice at all stages of transactions — from the draft agreement to control over the real supplies and settlements. The Bank helps describe correctly and with maximum benefit for his client the terms of the transaction, the format and the admissibility of documents in settlements, evaluate hidden risks and costs, and exclude controversial interpretations of various documentary terms. Our task is to help the client conclude a profitable deal with maximum possible benefits. - Do you have products that have not been yet represented in the banking market of Azerbaijan? Maybe you have borrowed them from other VTB organizations? - Yes, of course. We have quite a new-for-the-Azerbaijani market product which is very popular of Russia – it is the average monthly balance on the current account. This product implies the interest accrual on monthly average account balance. Thus, money does not just remain on the account and provide to receive additional income. Depending on the conditions, the interest rate can reach 4% per annum. This product is best for both customers with an account in the national currency and for those who have an account in dollars or rubles. In Russia this kind of product is applied in many banks. We’ve become the first who introduced it in Azerbaijan. - What are the plans for the development of corporate business in 2018? - We intend to continue work on the introduction of new-for-Azerbaijan banking products. Among them are products adopted from parent organization or other subsidiaries of VTB. We are optimistic and intend to continue strengthening our position in the banking market of the country.