1. What a Customer Wants Trade Finance Conference
Minsk
March, 2018

2. CONTENTS Bank BelVEB Profile
Trade and Structured Finance: Key Performance Indicators
What a Customer Wants

3. Bank BelVEB Profile
POSITIONING
Being one of the country’s leading banks, the Bank operates as a credit and financial institution serving the real sector of the economy and focusing on foreign trade transactions
MISSION
The Bank sees its Mission in facilitating and assisting customers from Russia and Belarus to successfully implement their mutual business initiatives
STRATEGIC GOALS
Increasing the number of Russia-Belarus trade transactions in the Bank’s corporate portfolio, including Russia exports target financing, promoting integration and facilitating joint projects.
Becoming a high-tech bank due to introduction of up-to-date customer-centered banking technologies and raising the share of products and services provided via distant banking.
Keeping the Bank’s equity sufficient to ensure safety of shareholders’ investment into the authorized capital.

4. Bank BelVEB Profile
MARKET SHARE
In 2017, Bank BelVEB managed to slightly increase its market position in terms of assets, customer loans exposure and equity, which is in line with its goals. 4

5. Key Performance Indicators
Major Market Drivers and Trends
further increase of risk-appetite of European banks to accept Belarusian risks due to Belarus upgrade by OECD and Fitch;
grows in foreign trade turnover;
recovery in corporate investment activity;
excess liquidity in hard currency in Belarusian market;
TF products starts loosing to domestic loans;
Basel III (LCR and NSFR) implementation;
new approach of the National Bank to export financing. 5

6. Banks provide full range of import TF instruments
Key TF Products of Belarusian Banks
Import
Export
Documentary Credits +
Documentary Credits Confirmation
LC Post-financing
Buyer’s Credit
+/-
Buyer’s Bank Credit
Guarantees
Factoring
Banks provide full range of import TF instruments 6

7. Key Performance Indicators
Major drivers and trends
Decrease of interest rates for loans in BYN
Decrease of interest rates for loans in hard currency
Tough competition
Shrinkage of margin
Interest rates for new corporate loans
in 2017
Average all-in price for documentary operation in
BYN
Hard currency 7

8. Trade and Structured Finance
KEY PERFOMANCE INDICATORS
+17.8%
In 2017, the corporate loan portfolio went up by 3.6% while
documentary operations exposure showed growth of 17.8%
20%
Bank BelVEB is remaining second in Belarusian Trade Finance with a share of 20%
+31%
In 2017, 1the total value of documentary obligations grew by 31%
+68%
In 2017, the quantity of documentary obligations grew by 68% 8

9. Good Cheap Fast Pick All Three! What a Customer Wants:9

10. Trends and Expectations
Drivers
Export financing in demand
the Government and customers are keen on further development of export financing system
cooperation between Belarus and Russia in support of common export
new rule for export financing
Interest rates downtrend
state policy for dedollarization of the economy
escape from excess liquidity in hard currency
Restrained growth in documentary business
foreign trade recovery
investment activity recovery
special state programs for export support
pressure of sectoral sanctions
Basel III
Moderate growth in long-term financing
investment programs resume
growing number of long-term clean limits for Belarusian banks is expected
Increase in ‘Russian’ transactions share
growing Russian-Belarusian trade turnover
development of Russian exports financing system
TF in Belarus. Forecast for Y2018 10

11. Thank you!
Спасибо за внимание!