Page 26 - Annual Report 2022
P. 26
BUSINESS AND RETAIL BANKING GROUP
Vlora International Airport Project is financed by BKT
During 2022 the economy continued to be hit by By the end of 2022, BKT Albania’s total loans
a sequence of large domestic and international portfolio reached USD 873.6 million, of which the
shocks, reflecting the impacts of the COVID crisis total Business loans portfolio was USD 460.3 million.
and the war in Ukraine. This generated a difficult
economic environment, with significant challenges The Albanian government continued to offer financial
for monetary policy in navigating the narrow path support packages such as the Sovereign Guarantee
between the risks from elevated inflation and a tight Program No. 3 to assist businesses in the field of
labour market on one hand, and the likely impact on wholesale trade of food basket products to ease
activity from a substantial reduction in real incomes financing in inventory purchase to create reserves.
on the other. The Bank has made continuous efforts to actively
participate in these government programs.
Despite the difficult economic environment, we
maintained a strong position in lending products, The Bank continued to focus on assisting project
as shown by the increased volume of lending in finance customers that promote renewable energy
the retail sector. In addition, our continued focus on and add value through energy efficiency. The world
supporting customers and improving our offerings is facing an energy crisis, resulting in high energy
resulted in positive customer satisfaction scores. prices, bringing the focus back to the energy sector
and its development. In line with that, BKT has
The world is changing rapidly, and we need to keep up
with that trend. The Bank is adapting and innovating carefully evaluated each financing request. We are
to achieve this. Going forward, strengthening digital keen on continuing to finance renewables, with
value chains and deploying our expert advice at the photovoltaics being a priority, as this is set to be the
right moments in our customers’ lives will be at the new focus of the Albanian Government in order to
heart of our work towards achieving a structurally diversify the energy sector and fully exploit our natural
lower cost base and improving our efficiency. resources. The successful completion of other
Digitalization and advisory services will be the ambitious projects in infrastructure and other key
foundation of our value proposition through which sectors, financed by BKT through project financing,
we aim to strengthen our market position. are starting to contribute to the real economy by
generating income and creating employment.
In 2022, we supported our customers’ increasing
demand for financing, as the capital markets were BKT continued to provide significant support for
volatile. Moreover, we have been supporting our agriculture in 2022, extending loans to agricultural
customers in the utility sector, where we saw an customers throughout Albania. The Bank also
increasing demand for liquidity over the summer as successfully collaborated with Guarantee Programs
oil prices spiked, which led to increasing working that support loans to SME businesses in the
capital needs in combination with significant margin agricultural sector specifically, in rural areas in
changes. general, and in other sectors of the economy.
