Kazkommertsbank is considering the second issue of eurobonds

/IRBIS, Feb.17, 00/ - REUTERS informs, with the reference to managing director of Kazkommertsbank Aidan Karibjanov, that the biggest private bank of the country Kazkommertsbank is considering the possibility of launching the second issue of eurobonds for an amount of at least $100 mln this year along with expansion of the deposit base. "We can consider the matter on launching eurobonds this year - at least $100 mln - everything will depend on world financial markets, mainly on the events that may occur in Russia in next months", said Karibjanov. Besides serious international borrowings, the bank intends to expand its deposit base in the country. Currently, it has more than 40 th. depositors. "We emphasize on working with the population and on the development of branch network, because we believe we have to have a significant amount of funds in addition to international borrowings that we have already done and will be doing", said he. Kazkommertsbank is the only bank in Kazakhstan to be able to launch $100 mln worth of euronotes in April of 1998 with 11.25% APR coupon, through Kazkommerts International BV and warranted by Kazkommertsbank. Last year the bank did not launch the second issue of eurobonds, as the director said, due to difficulties on world markets and devaluation of tenge. He said they were optimistic about the future and hoped to have more profitability this year. Preliminary estimates show net profit of the bank grew up to KZT2.199 bln ($18.4 mln at yearly average rate of 119 tenge to dollar) last year against 1998, where the profit was at KZT1.46 bln ($13.4 mln). It was said profits had grown due to an expansion of loan portfolio and interest income on those loans. The bank assets rose from KZT49.308 bln in 1998 up to KZT72.427 bln last year and shareholders' equity rose from KZT9.537 bln to KZT11.696 bln. International auditing of the bank results for the year 1999 should be carried out by Delloite & Touche in March of this year.