Prominvestbank
Encyclopedia
Prominvestbank (full name - Joint Stock Commercial Industrial & Investment Bank (closed stock company
)) was formed in August 1992. The overall history of the bank is more than 86 years.
The history of the Bank goes back to the 1920s when pursuant to the government’s decision “On Supreme Council
of the National Economy” the Industrial Bank
(Prombank) was established as a central financial institution
for industry, and on the 1st of January 1923, the All-Ukrainian Office of Prombank was opened in Kharkiv City. The network of branches was steadily expanded with a view to supporting the leading industrial enterprises. Following the reorganization of Prombank in 1928 into the Bank for the Long-Term Lending to Industrial and Electric Power
Companies – BDK (Prombank), its strategy changed to focus on providing long-term finance to the construction industry
. As a result, approx. 2/3 of all investments into capital construction in the early 1930s were made through the Bank. In 1936-37 the All-Ukrainian Office of Prombank was re-organised into the Office of Authorized Prombank of the USSR based in Kiev. During the reconstruction period that followed the 2nd World War
, the Bank participated actively in restoring various key industrial enterprises, including the reconstruction of Dnipro Hydroelectric Power
Station, development of the Donbass coal-mines and other projects of national importance.
In 1959, the bank was reorganized into the All-Union Bank for Financing of Capital Investments
(Budbank of the USSR). It assumed the operations of the Bank for Financing of Communal and House Building (Tsekombank), communal banks, Agrarian Bank and Trade Bank. As a result, in addition to financing industrial, transport and communication enterprises, the bank started lending to the education and housing sectors. During this period Budbank was responsible for financing approx. 70% of all capital investments in the Ukrainian economy. In 1987, the Central Committee of the Communist Party and the Council of Ministers of the USSR adopted a resolution under which Budbank was reorganized into the Industrial and Construction Bank of the USSR (Prombudbank of the USSR).
The independence of Ukraine opened a new chapter of the Bank’s development. On the 26th of August 1992 Prombudbank was re-organised into its present form: the Ukrainian Joint-Stock
Commercial Industrial and Investment Bank (Prominvestbank of Ukraine). On June 27, 2001 the name of the bank was changed to Joint Stock Commercial Industrial & Investment Bank (closed stock company)(Prominvestbank)
Prominvestbank has, since its beginning in the 1920s, grown to become one of Ukraine’s leading financial institutions. Through its various re-incarnations the Bank has continued to play a lead role in supporting the industrial sector of Ukraine and the development of the national economy – a role that is as important now as it was over eighty years ago. Since Ukrainian independence
, Prominvestbank has invested almost USD 67 billion for the development of the Ukrainian economy.
The head office of Prominvestbank is located at 12, Shevchenko lane, Kiev 01001, Ukraine. Prominvestbank has more than 850 branches in all regions of Ukraine
.
Today the main shareholder of Prominvestbank is State Corporation
'Bank for Development and Foreign Economic Affairs (Vnesheconombank)' (Russian Federation) - 75% of shares.
Prominvestbank is a universal commercial bank
and one of the leading banks in Ukraine. As of 1 January 2009 Prominvestbank is one of Ukraine’s largest banks in terms of assets (UAH 27.5 billion), credit portfolio (UAH 24.1 billion) and capital (UAH 3.3 billion).
Prominvestbank provides a wide range of services to private and corporate customers (more than 4.3 million private and corporate customers). The Bank’s customers include a number of leading enterprises in the following sectors: mining & smelting, machine building (inc. aircraft construction), transport and agro-industrial, as well as in all other sectors. During 2007 Prominvestbank granted UAH 48.5 billion of loans, including UAH 34.8 billion granted to corporate customers, the largest part of which went to current operations, investments and mortgage loans. The most significant credit support, UAH 15.7 billion, has been provided to industrial enterprises. Prominvestbank also actively maintained its support to agro-industrial enterprises and granted loans and guarantees worth UAH 1.4 billion to their development. Retail banking
is one of the main priorities of Prominvestbank’s overall strategy. The Bank continues to actively take measures to increase the volume and range of services it offers to its private customers.
Significant loans to the metallurgy, mechanical engineering
, transport, construction, agriculture contributes to the development of these branched of industry. Three times in 2003, 2004 and in 2006 Prominvestbank was awarded The Bank of the Year for Ukraine by the world known English magazine "The Banker".
Stock company
Stock company can refer to:*Joint stock company *Stock company - referring to a group of actors...
)) was formed in August 1992. The overall history of the bank is more than 86 years.
The history of the Bank goes back to the 1920s when pursuant to the government’s decision “On Supreme Council
Supreme Soviet
The Supreme Soviet of the Soviet Union was the Supreme Soviet in the Soviet Union and the only one with the power to pass constitutional amendments...
of the National Economy” the Industrial Bank
Industrial bank
Industrial Bank is another name for an industrial loan company.It is also a common name for a number of banks.* Industrial Bank * Industrial Bank of Iraq* Industrial Bank of Korea* Industrial Bank - see Economy of Syria* Industrial Bank NA...
(Prombank) was established as a central financial institution
Financial institution
In financial economics, a financial institution is an institution that provides financial services for its clients or members. Probably the most important financial service provided by financial institutions is acting as financial intermediaries...
for industry, and on the 1st of January 1923, the All-Ukrainian Office of Prombank was opened in Kharkiv City. The network of branches was steadily expanded with a view to supporting the leading industrial enterprises. Following the reorganization of Prombank in 1928 into the Bank for the Long-Term Lending to Industrial and Electric Power
Electric power
Electric power is the rate at which electric energy is transferred by an electric circuit. The SI unit of power is the watt.-Circuits:Electric power, like mechanical power, is represented by the letter P in electrical equations...
Companies – BDK (Prombank), its strategy changed to focus on providing long-term finance to the construction industry
Construction
In the fields of architecture and civil engineering, construction is a process that consists of the building or assembling of infrastructure. Far from being a single activity, large scale construction is a feat of human multitasking...
. As a result, approx. 2/3 of all investments into capital construction in the early 1930s were made through the Bank. In 1936-37 the All-Ukrainian Office of Prombank was re-organised into the Office of Authorized Prombank of the USSR based in Kiev. During the reconstruction period that followed the 2nd World War
World War II
World War II, or the Second World War , was a global conflict lasting from 1939 to 1945, involving most of the world's nations—including all of the great powers—eventually forming two opposing military alliances: the Allies and the Axis...
, the Bank participated actively in restoring various key industrial enterprises, including the reconstruction of Dnipro Hydroelectric Power
Hydroelectricity
Hydroelectricity is the term referring to electricity generated by hydropower; the production of electrical power through the use of the gravitational force of falling or flowing water. It is the most widely used form of renewable energy...
Station, development of the Donbass coal-mines and other projects of national importance.
In 1959, the bank was reorganized into the All-Union Bank for Financing of Capital Investments
Investment
Investment has different meanings in finance and economics. Finance investment is putting money into something with the expectation of gain, that upon thorough analysis, has a high degree of security for the principal amount, as well as security of return, within an expected period of time...
(Budbank of the USSR). It assumed the operations of the Bank for Financing of Communal and House Building (Tsekombank), communal banks, Agrarian Bank and Trade Bank. As a result, in addition to financing industrial, transport and communication enterprises, the bank started lending to the education and housing sectors. During this period Budbank was responsible for financing approx. 70% of all capital investments in the Ukrainian economy. In 1987, the Central Committee of the Communist Party and the Council of Ministers of the USSR adopted a resolution under which Budbank was reorganized into the Industrial and Construction Bank of the USSR (Prombudbank of the USSR).
The independence of Ukraine opened a new chapter of the Bank’s development. On the 26th of August 1992 Prombudbank was re-organised into its present form: the Ukrainian Joint-Stock
Joint stock company
A joint-stock company is a type of corporation or partnership involving two or more individuals that own shares of stock in the company...
Commercial Industrial and Investment Bank (Prominvestbank of Ukraine). On June 27, 2001 the name of the bank was changed to Joint Stock Commercial Industrial & Investment Bank (closed stock company)(Prominvestbank)
Prominvestbank has, since its beginning in the 1920s, grown to become one of Ukraine’s leading financial institutions. Through its various re-incarnations the Bank has continued to play a lead role in supporting the industrial sector of Ukraine and the development of the national economy – a role that is as important now as it was over eighty years ago. Since Ukrainian independence
History of Ukraine
The territory of Ukraine was a key center of East Slavic culture in the Middle Ages, before being divided between a variety of powers. However, the history of Ukraine dates back many thousands of years. The territory has been settled continuously since at least 5000 BC, and is also a candidate site...
, Prominvestbank has invested almost USD 67 billion for the development of the Ukrainian economy.
The head office of Prominvestbank is located at 12, Shevchenko lane, Kiev 01001, Ukraine. Prominvestbank has more than 850 branches in all regions of Ukraine
Regions of Ukraine
A list of the various regions of Ukraine and/or inhabited by Ukrainians and their ancestors throughout history.- Traditional regions :The traditional names of the regions of Ukraine are important geographic, historical, and ethnographic identifiers....
.
Today the main shareholder of Prominvestbank is State Corporation
Government-owned corporation
A government-owned corporation, state-owned company, state-owned entity, state enterprise, publicly owned corporation, government business enterprise, or parastatal is a legal entity created by a government to undertake commercial activities on behalf of an owner government...
'Bank for Development and Foreign Economic Affairs (Vnesheconombank)' (Russian Federation) - 75% of shares.
Prominvestbank is a universal commercial bank
Commercial bank
After the implementation of the Glass–Steagall Act, the U.S. Congress required that banks engage only in banking activities, whereas investment banks were limited to capital market activities. As the two no longer have to be under separate ownership under U.S...
and one of the leading banks in Ukraine. As of 1 January 2009 Prominvestbank is one of Ukraine’s largest banks in terms of assets (UAH 27.5 billion), credit portfolio (UAH 24.1 billion) and capital (UAH 3.3 billion).
Prominvestbank provides a wide range of services to private and corporate customers (more than 4.3 million private and corporate customers). The Bank’s customers include a number of leading enterprises in the following sectors: mining & smelting, machine building (inc. aircraft construction), transport and agro-industrial, as well as in all other sectors. During 2007 Prominvestbank granted UAH 48.5 billion of loans, including UAH 34.8 billion granted to corporate customers, the largest part of which went to current operations, investments and mortgage loans. The most significant credit support, UAH 15.7 billion, has been provided to industrial enterprises. Prominvestbank also actively maintained its support to agro-industrial enterprises and granted loans and guarantees worth UAH 1.4 billion to their development. Retail banking
Retail banking
Retail banking is banking in which banking institutions execute transactions directly with consumers, rather than corporations or other banks. Services offered include: savings and transactional accounts, mortgages, personal loans, debit cards, credit cards, and so forth.-Types of...
is one of the main priorities of Prominvestbank’s overall strategy. The Bank continues to actively take measures to increase the volume and range of services it offers to its private customers.
Significant loans to the metallurgy, mechanical engineering
Mechanical engineering
Mechanical engineering is a discipline of engineering that applies the principles of physics and materials science for analysis, design, manufacturing, and maintenance of mechanical systems. It is the branch of engineering that involves the production and usage of heat and mechanical power for the...
, transport, construction, agriculture contributes to the development of these branched of industry. Three times in 2003, 2004 and in 2006 Prominvestbank was awarded The Bank of the Year for Ukraine by the world known English magazine "The Banker".