Upload
kenny-jex
View
226
Download
0
Tags:
Embed Size (px)
Citation preview
Banking sector in Montenegro
Free template from www.brainybetty.com
2
Macroeconomic data2002 2003 2004 2005 2006
GDP (mil €) 1,301.50 1,433.00 1,535.00 1,644.00 1,778.81
GDP per capita € 2,109.11 2,317.90 2,472.99 2,638.00 2,790.50
GDP growth (%) 1.70 2.30 3.70 4,10 6.50 Inflation 9.40 6.70 4.30 1,80 2.5
Unemployment rt. 30.45 25.82 22.6 17,00 15.5
Average wage 193 271 302.81 326.50 376.37
Total credit 124.66 200.63 284.08 377.30 653.1
Savings deposits 22.21 45.07 80.68 173.02 351.8
Investments 182.90 213.62 111.08 382.82 502.00
Sources: Central Bank Of Montenegro;Institute for Strategic Studies and Prognoses
Free template from www.brainybetty.com
3
SWOT analysis Banking sector in Montenegro
• Strengths
Stability and strong currency
Favorable legislative and institutional framework
Independent Central bank without emission function
Implemented international standards in the bank monitoring
Private banking sector Liberal system in financial
and capital flows Good human capital
Free template from www.brainybetty.com
4
SWOT analysisBanking sector in Montenegro
• Weaknesses
Distrust in banking sector Low rating deposit High interest rate on credit Furlough from
international market for year
Missing regulation in certain districts
Payment circulation is still not completely reformed
Rigid labor law Inefficient court system
Free template from www.brainybetty.com
5
SWOT analysisBanking sector in Montenegro
• OpportunitiesAttracting foreign
investmentsContinuation of implemented
international standard in banking monitoring
Improvement of cooperation with international financial institutions
Implemented IT technology in
extension banking services
Free template from www.brainybetty.com
6
SWOT analysis Banking sector in Montenegro
• Opportunities
Continue perfection human capital
extension banking services bank
Dispersal variety of banking Improvement of monetary
statistic and analytic Implemented IT technology
in extension banking services
bank
Free template from www.brainybetty.com
7
SWOT analysis Banking sector in Montenegro
• Threats High transaction costs Unfair competitionEarly assumption of
determination of international bureaucracy standard
Inefficient adhibition of legislative solutions in certain districts
Inefficient and long procedure of bank bankruptcy and liquidation
Impossibility of outstanding account payment
Free template from www.brainybetty.com
8
Objectives Finalizing bank
privatization and opening bankruptcy and liquidationprocess
Further increase in efficient monitoring of the banks through implementation of principles of Basel 1.
Making conditions for further decreasing interest rate
Free template from www.brainybetty.com
9
Objectives
Working on further legislation improvementwhich directly or indirectly influences banking sector
Improvement of payment circulation in order to increase its efficiency
Decrease in transaction costs of user banking services
Free template from www.brainybetty.com
10
Bank Founding
• A bank is founded and operates as a joint stock company.
• A bank may be founded by domestic and foreign legal entities and private individuals, at least two founders.
• No party may engage in banking operations without license of Central Bank
• Minimum financial amount of initial capital may not be less than EUR 5,000,000.
Source: Central Bank
Free template from www.brainybetty.com
11
Bank Founding• The bank founders shall
submit to the Central Bank the application for a bank license with next documents:
the foundation contract, the proposed by-laws, data on professional
qualifications and working experience for the last five years for proposed members of Managing Board of the bank,
data of shareholders holding more than 5%,
business plan of the bank for the next three years,
technical and personal capabilities data
Source: Central Bank
Free template from www.brainybetty.com
12
Status of banking sector
• 10 commercial banks• Concentration of financial
potentiality – 59,5 of total banking capital is assets of 3 bank.
• Increasing trend in credit activities of banks - total sum of credit was increase for 40% in 2006
124,66200,63
284,08
377,3
653,1
0
100
200
300
400
500
600
700
2002 2003 2004 2005 2006
Total amount of credit
Free template from www.brainybetty.com
13
Institutional ambient of banking sector
Institutional ambient in which bank work characterizes usage of euro as legal means of payment
• Since establishment of Central bank adoped new laws are:
Law on the Central Bank Law of bank Law of bankruptcy and
liquidation Law of deposit security
Source: Ministry of Tourism
Free template from www.brainybetty.com
14
Bank in MontenegroName of bank headquorters Establishing
year
1 Crnogorska Komercijalna banka AD
Podgorica 1997
2 Euromarket banka NLB AD Podgorica 2000
3 Hypo Alpe-Adria Bank AD Podgorica
Podgorica 2006
4 Podgorička banka AD Podgorica 1906
5 Opportunity banka AD Podgorica 2002
6 Atlasmont banka AD Podgorica 2002
7 Montenegrobanka AD Podgorica 1995
8 Prva banka Crne Gore AD Nikšić
Nikšić 1901
9 Hipotekarna banka AD Pljevlja 1991
10 Komercijalna banka AD Budva 2003
Free template from www.brainybetty.com
15
Leading financial groups • Societe Generale Group – One of the
leading financial groups in the euro zone. 386 billion assets under management. The third corporate and investment bank in the euro zone. More than 19 million customers in the real banking in the world. The Societe Generale Group purchased 64,4% shares of »Podgoricka Banka« in state ownership, for 385 euros per share.
• Hypo Alpe-Adria-Bank Group is in
Montenegro, too. This group have locations in Austria, Italy, Slovenia, Croatia, Bosnia and Herzegovina, Serbia and Montenegro, and Germany. The Hypo Alpe-Adria-Group employs more than 5,200 people that serve more than 750,000 customers. The three strategic business sectors of the Hypo Alpe-Adria Group - banking, leasing and consulting .