Odeabank’s TRY Commercial Loans Grew by 50% in 2020​

Odeabank sustained its growth in 2020, despite the challenges posed by the pandemic. Following a 50 percent increase in TRY commercial cash loans last year, Odeabank grew its assets to 40 billion Turkish lira, expanded total loans to 19.4 billion Turkish lira, and increased deposits to 25.6 billion Turkish lira. Additionally, the bank supported the Turkish economy with an extra 5.4 billion Turkish lira through non-cash loans. In 2020, Odeabank achieved a net profit of 134 million Turkish lira, nearly doubling its year-on-year profit. Odeabank CEO Mert Öncü stated, “Despite the pandemic, 2020 was a successful year for our performance indicators.

Türkiye’s young, dynamic, and innovative bank Odeabank continued its sustainable and profitable growth in 2020. Odeabank continued to support the economy by leveraging its robust equity structure and strong balance sheet, achieving a net profit of 134 million Turkish lira in 2020.

Having achieved a growth of 50 percent in TRY commercial cash loans last year, Odeabank’s total assets reached 40 billion Turkish lira with a year-on-year increase of 23 percent, while its total net loans rose to 19.4 billion Turkish lira. Deposits, the primary source of funding for loans, rose by 16 percent year-on-year and reached 25.6 billion Turkish lira.

Odeabank outperformed industry averages in 2020 by attaining a total capital adequacy ratio of 19.82 percent and a core capital adequacy ratio of 11.95 percent, thanks to its strong equity structure and efficient asset management.

Mert Öncü: “We aim to become the Region’s bank of choice for savings and investment products”

Odeabank CEO Mert Öncü stated that despite the challenges of the pandemic, they successfully provided uninterrupted and secure banking services throughout last year. Commenting on the bank’s financial results for 2020, he said, “Despite the global and national developments over the year, we continued to successfully implement our customer-oriented strategy and operated in line with Türkiye’s priorities, placing a greater emphasis on efficiency and risk management.” Our bank achieved significant growth in deposits and loans in 2020. We capped off the year with a growth of over 50 percent in TRY commercial loans. We achieved 25.6 billion Turkish lira in deposits, marking a year-on-year growth of 16 percent. We increased the share of demand deposits in total customer deposits to 16 percent. In 2020, we increased the bank’s funds to 1.5 billion Turkish lira. We also improved efficiency in deposits and managed total assets, funds, stocks, and bonds more effectively, while diversifying our funding sources. At Odeabank, we provide personalized asset recommendations tailored to our customers’ needs. By leveraging our product diversity, we aim to become Türkiye’s and the region’s bank of choice for savings and investment products.”

“We Are Working to Provide Relief for Turkish Exporters”

Mert Öncü emphasized that financial support became even more crucial for exporting companies in 2020 due to the challenges in global trade. He stated, ‘At Odeabank, 97 percent of our loans are dedicated to commercial banking, with a focus on exports, import reduction, and technology. We aim to be a major, fast-growing foreign trade bank in surrounding regions outside Europe. To achieve this goal, we guided exporters throughout the year with our Foreign Trade Meetings on the digital platform. Last year, we extended 11.7 billion Turkish lira to Turkish companies seeking growth in international trade to fund exports. We aim to increase our market share in exports by 30 percent in 2021. This year, we expect to achieve an export volume of over $3 billion. We will continue to increase our share in the Central Bank of the Republic of Türkiye’s rediscount credits. We recently signed a five-year agreement worth $25 million with the FMO, a Dutch entrepreneurial development bank. We take care to use this resource to support the country’s economy and companies. We are committed to supporting Turkish exporters with our loans and expertise in export financing.”

“We Expect 2021 to Be a Positive Year for the Industry”

Öncü also discussed recent developments in the Turkish banking industry, stating, “We anticipate balanced growth in 2021, fueled by both domestic and foreign demand. By the end of the first quarter, reduced uncertainty and increased predictability, driven by improved financial conditions and the rollout of vaccination efforts, will restore investor confidence and support economic growth. With the appreciation of the Turkish lira against other currencies since the start of the year, we expect the banking industry to see a 15 to 20 percent rise in total assets, total loans, and total customer deposits in 2021.”