Bilansi uspjeha - Raiffeisen Bank

Report by the President
of the Supervisory Board
On behalf of the Supervisory Board of Raiffeisen BANK d.d. Bosna i Hercegovina, I can again report with plea-
sure about the successful business activities of the previous year. Raiffeisen BANK maintained its stable growth
and position of the bank with the highest assets. As of December 31, 2005, the Bank’s assets reached KM 2,5
billion.
Owing to the high professionalism of the management and employees, as well as the continuous adjustment to the
needs of the local banking sector, which is in continuous development and becoming more and more competitive,
the bank kept its leading position.
The success of the Bank was certainly based on the clear focus on the development of the business network, which
is today available for customers throughout Bosnia and Herzegovina.
From the very beginning of its operations, the Bank has had a pioneer role in introducing new products and busi-
ness opportunities. It was amongst the first banks which signed the Agreement for Deposit Insurance, amongst
the most successful banks in the transition process of international payments from the State Clearing Agency to
commercial banks, the most active bank in introducing the EURO and the first bank present in both entities. It
was also one of the first banks to introduce card operations, an SME programme, internet banking service for
corporate entities and, not least, the first bank contracting and distributing foreign credit lines (from DEG, KfW,
IFC and others).
It was the most significant bank in supporting the development of the local economy, the biggest creditor in the
last five years and it had considerable share in big export financings.
Raiffeisen BANK is an important part of Raiffeisen International Bank-Holding AG, one of the leading banking
groups in the Central and Eastern Europe. The reason for Raiffeisen International’s success is its comprehensive
presence in the region and its offering of state-of-the-art banking products and services across all business seg-
ments.
Although, according to Moody’s, BiH is in the group of countries with medium risk for foreign investments, there
is considerable inflow of foreign capital, especially from European banking groups. In the previous year, lots of
efforts were made to strengthen the country’s political and economic stability.It is realistic to expect that these
efforts will lead to a further improvement of its international credit rating, which will in turn certainly contribute
to decrease the price of capital, as well as to more favourable lending conditions both in the retail and the cor-
porate segments.
Raiffeisen International readily supports all initiatives of Raiffeisen BANK directed to the relevant authorities and
institutions, which help to develop the financial sector in BiH.
On behalf of all members of the Supervisory Board, I thank the management of BANK Bank, as well as all its
employees for their dedicated work and professionalism. Also, I thank all customers which, through their business
cooperation with us, have showed their trust. I believe that Raiffeisen BANK, following its strategy, will reach new
successes in 2006.
Herbert Stepic
Chairman of the Supervisory Board
Report by the President of the Supervisory Board
www.raiffeisenbank.ba
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