Russian Agricultural Bank

Russian Agricultural Bank (RusAg) is among TOP-5 banks in Russia and one of the leading financial institutions providing lending support to national agribusiness.

RusAg plays a key role in the implementation of national support programs for the domestic agribusiness sector, including State Program on Agribusiness Development. The Bank’s development role is based on its good knowledge of the Russian agribusiness sector. It offers a diversified product range designed to satisfy the demand of the target market segment and to match its wide regional coverage. The Bank also engages in other government sustainability programs focused on social aspects.

Today, RusAg’s network of 65 branches and over 14 thousand access points covers 100% of country’s rural areas. The Bank’s nation-wide branch network is the second largest in Russia. RusAg’s local presence provides a significant marketing advantage and access to regional client base.

Russian Agricultural Bank provides banking services to over 6 million clients. The Bank’s policy is to make the whole range of financial and credit services available to its clients both in urban and rural areas.

In 2022, RusAg’s assets totaled RUB 4.261 trillion (+2.5% or RUB 105.4 billion). The Bank’s net profit in 2022 amounted to RUB 5.0 billion.

The Bank’s gross loan portfolio (before provisions) grew by 9.7% (+RUB 302.7 billion) during 2022, and amounted to RUB 3.413 trillion. The Bank’s agribusiness loan portfolio increased by RUB 117 billion (+6.2%) in 2022, and by the beginning of 2023 exceeded RUB 2 trillion. The volume of loans issued to the agricultural sector increased during 2022 by RUB 26 billion (+1.5%) to RUB 1.7 trillion, including for seasonal work financing – by RUB 152 billion (+25%) up to RUB 762 billion. The volume of loans issued to export-oriented agribusiness companies grew over the year by almost RUB 220 billion (+46%) and amounted to RUB 697 billion.

Retail deposits and customer accounts increased by RUB 164.7 billion (+11.0%) and amounted to RUB 1.663 trillion. Corporate customer accounts (excluding funds of state authorities) increased by RUB 100.4 billion (+7.8%) compared to the end of 2021, and amounted to RUB 1.393 trillion. In general, during 2022, the Bank’s customer accounts increased by 2.2% (+RUB 72.3 billion) and totaled RUB 3.363 trillion.

The share of customer funding in the Bank’s total liabilities stood at 84.7%. Loan-to-deposit ratio (LTD) stood at 101% as at 31 December 2022.

Net interest income for 2022 amounted to RUB 82.4 billion, the volume of net fee and commission income amounted to RUB 25.7 billion. Cost / Income ratio (operating expenses divided by net operating income (before allowance for credit losses)) stood at 56% as of 31 December 2022.

RusAg’s equity (according to IFRS) as of 31 December 2022 amounted to RUB 288.6 billion, having increased by 5.1% during the year. The Bank’s capital growth factors were the year-end 2022 financial result, as well as the additional capitalization of the Bank in 2022 for RUB 17.6 billion in order to support agricultural producers and increase the volume of financing of agricultural products exporters.

Capital adequacy ratio (N1.0) (under the Bank of Russia requirements) stood at 14.5% as at 1 January 2023.  

Source: IFRS Financial Statements as of 31 December 2022