VKF_FRAE_2018_uyg11

50 Section I: Introduction For the first time in a banking sector, by developing a new banking perspective focused on municipalities, their subsidiaries and commercial enterprises, VakıfBank created a department at the executive level in the second half of 2017 to offer a banking service specific to local governments. In 2018, VakıfBank started to reap the fruits of the synergy created by this new organizational structure. In a very short span of time, VakıfBank paid numerous visits to local governments through very intensive fieldwork. During the year, the Bank’s General Directorate sales employees visited more than 130 metropolitan municipalities, provincial, metropolitan district and district municipalities. In this way, VakıfBank monitored and analyzed the needs of local governments on-site. As a result of these analyses, the Bank developed financial solutions that include alternative financing for local governments as well as innovative products and services. The Bank also developed solutions for the business partners of local governments. Working together, VakıfBank formulated long-term solutions with the business partners of the target sector. VakıfBank has established very close cooperation with the Union of Turkish Municipalities in particular. Extending its national-level cooperation to the international arena, VakıfBank has also provided foreign financing for the use of local governments. Performance in 2018 With the new service model, VakıfBank recorded 36.93% growth in cash loans and 36.01% growth in non-cash loans extended to local governments in 2018. VakıfBank provides practical solutions to both local governments and citizens benefiting from their services with cash management product and service offerings, especially in key areas such as collection and payment systems. With collection applications developed in digital format, local governments can save time and resources during their collection processes. At the same time, the collection models developed to make it possible for local governments to reach out to more taxpayers and boost the collection rate and speed for their tax receivables. As a result, citizens can make their payments easily, spending less time and effort. During the year, VakıfBank modified its current systems infrastructure for collection of Municipal Real Estate Taxes. With this effort, the Bank opened up innovative channels easily accessible by all taxpayers. VakıfBank is on your side with customized services for local governments… Local Government Banking In 2018, VakıfBank remained the financial solutions partner of local governments with its extensive range of high- quality products and services. 36.93% Cash Loan Growth Rate REVIEW OF OPERATIONS IN 2018