Credit Agricole Bank confirmed its resilience even in an extremely adverse context, thanks to its clients, its employees, and its sound capital and liquidity position.
In this context, the priorities for the Bank were clients, employees, and Ukrainian society.
To ensure a prompt reaction to the extreme environment, a (daily) Crisis Committee has been activated, in close connection with Credit Agricole SA, that ensured the effectiveness of decisions.
Credit Agricole Ukraine has never interrupted its activity since the start of the Russian invasion and employees work every day and provide daily banking for its customers, both remotely and in Bank’s premises, in Ukraine and abroad.
Moreover, loyalty programs were introduced for Ukrainians by Credit Agricole in Poland regarding a simplified procedure of opening accounts for the citizens of Ukraine and servicing bank accounts. The service of remote translation of Ukrainian sign language into Polish is available in all branches of the bank. Opening and maintaining a bank account for citizens of Ukraine is free of charge.
More than 70% of branches were permanently opened and 25% of the network works with flexible hours. In addition, Credit Agricole continues to upgrade the bank network even in times of war. As part of the project, the bank has recently presented a new model branch in Poltava.
Credit Agricole Ukraine actively supported business making a special focus on providing financing to farmers and agribusiness in line with state programs. The bank also implemented credit holidays with no overdue debts altogether with pricing policy adaptation to the new reality via cancelation of some types of fees for Private Individuals.
In order to ensure the safety of client’s data, Credit Agricole Ukraine – in cooperation with Amazon, CAGIP and CA Technologies (the specialized IT companies of Credit Agricole Group) - activated a daily backup on the cloud of all clients’ positions.
Support for employees is among the Group’s key priorities. Credit Agricole Ukraine arranged the evacuation of employees from combat areas and supported those employees who had to move abroad: for example, in Poland, thanks also to the contribution of CA Polska, employees of CA Ukraine and their relatives were provided with housing and working places.
Crédit Agricole Group created a special fund of 5 million euros to support employees of CA Ukraine and essential goods have been collected by CA Anjou Maine and CA Charente-Maritime Deux-Sèvres and delivered to CA employees in Ukraine
The bank continues paying salaries to all employees, no layoff plan has been implemented and no employees were fired during this period. Also, several employees are working (temporarily) in other entities of the Group.
Credit Agricole supports society since the war began.
In the first days of the war, the Group Credit Agricole launched an Emergency solidarity fund of 5 million euros (on top of the one dedicated to CA Ukraine employees). These funds will be used to help Ukrainians, where the main priority is providing help to children, who suffered from military action.
In general, Credit Agricole Ukraine donated UAH 13 million for various charity activities aimed to support civilians. Among that bank donated UAH 7.5 million to help hospitals. These funds were used to purchase vital medical equipment for the Zaporizhya Regional Clinical Children's Hospital and a Multivan for the transportation of humanitarian aid. The initiative has been implemented with the support of the “Your Support” charity foundation.
UAH 270 K were donated by Credit Agricole to a humanitarian initiative by our partner - the Lviv IT Cluster.
PLN 600 K were provided by Credit Agricole in Poland to help Ukrainian hospitals.
In response to war and changing macro environment, the National Bank of Ukraine implemented a number of decisions aiming to ensure the stability of the financial and banking system of Ukraine. Credit Agricole Ukraine worked actively to promptly implement any change in the regulation.
Despite the slow-down in businesses, Credit Agricole was able to ensure a notable level of Net banking income (+43% vs H1-21) mainly thanks to the significant increase in deposit base, reinvested in NBU deposits.
Despite war-related expenses and allocating funds to charity donations, Credit Agricole Ukraine continues to ensure an effective cost management policy. As a result of it, the Bank boasts a solid level of Gross operating income in H1-22 significantly above than in the previous year (+78% vs H1-21). Worth to mention that the Bank is continuing to adhere to its investment policy in key projects & digitalization.
Bank continues to keep an extremely prudent approach and, for this purpose, formed provisions for UAH 1.7 billion: the aim is to cover potential impairments of financial and non-financial assets in relation to the Russian invasion and economic decay.
After paying taxes, the net result of the Bank in the first half of 2022 is UAH 31 million.
Annex 1 Summary Income Statement*
Annex 2 Short Balance Sheet*
* Credit Agricole Bank’s Interim Financial Statements are elaborated according to IFRS. Additionally, the detailed quarterly financial statements will be published on the bank's website.