Produbanco closed 2022 with positive figures. Of the 24 national private banks, it was the one that grew the most in profits along with the Pacific. In 2021 it achieved profits of 38 million dollars and in 2022 it reached $75.4 million, that is, 98.3% more. This financial institution is also betting heavily on so-called ‘green credits’ and for small and medium-sized enterprises (SMEs).
In addition, it has helped users generate a positive perception of what the bank does and its customer service channels. Gregory MorenoVice President of Produbanco’s SME Segment, explains the strategy they have applied to generate more profits and obtain positive comments as a brand.
Produbanco was one of the banks that grew the most in terms of profits last year. What strategy was applied to obtain these revenues?
That performance you mention is a testament to the bank’s commitment to customers. Produbanco’s fundamental pillars are an internal cultural transformation that leads us to leadership in what concerns digital and a very strong commitment to sustainability. This makes us the green bank.
You talk to me about utility, but I love talking about the portfolio. We have had a great performance this year supporting SMEs. As of November 30, we have granted more than 500 million dollars in disbursements (credits) to SMEs.
Being a banker is something that has become “bad” in the country, especially due to the negative memory of the banking crisis of the late 90s. For this reason, when they read the bank profits, many users criticize and condemn them. Why is it good for a bank to record profits?
Beyond profits, I believe that for the country, society will always be positive to have a strong, robust financial system that can present indicators with credit, which is a transformational tool for economies, especially if it is focused on strategic sectors such as SMEs and green credits. Ecuador has a financial system with these characteristics.
Another of the questions is that the “bank wins, but does not forgive when a loan cannot be paid.” What is the procedure that you apply when one of your clients has problems and cannot cancel or is late?
Prefabricated recipes may no longer fit today. When the pandemic started, we spent a lot of time talking one-on-one with customers, especially with SMEs to understand not only their financial situation at a time of great uncertainty, but also to find out how they were handling it.
Understand if they were operating, at what percentage, if they had the resources to pay the payroll, if they needed additional financial relief. We do not help, but we accompany the client in all aspects of it, we talk with them, we are very close.
As in the pandemic, we currently have a one-on-one approach to ask them how they are doing, and this is not only in delicate moments but also in good times when the client may have to expand, but does not know how to approach that conversation with the bank. .
Why have they bet on green credits?
We launched our green line programs in 2016. From then to date we have granted loans for almost 470 million dollars nationwide. We have several approaches to what a green credit comprises, but in general terms it is a positive credit for the environment, whether due to the efficiency in the use of resources such as water, energy or raw materials.
We even accompany clients to acquire globally accepted sustainability seals or certifications. We have mitigated more than 375,000 tons of CO2 since we launched the program.
A few years ago we did a study to find out how close small and medium-sized entrepreneurs are to the concepts of sustainability and best practices. The preconception that exists is that they are only for large companies, but it is the other way around. Our studies have revealed that 92% of small and medium-sized entrepreneurs want to incorporate sustainable practices in their companies. The bank has seen this as an opportunity and has wanted to bring these entrepreneurs closer to sustainability.
Currently there is a frenzy for the conservation of the planet. Generations like millennials and centennials want leverage for their sustainable projects. What is the importance of financial institutions financing these initiatives whose impact, perhaps, will be seen in the long term?
We are talking about a subject that transcends all of us. I think we have even more generations. Our purpose is to connect with citizens in general and not by designating a single generation. Produbanco is one of the few that has committed to having a client portfolio that is committed to net zero and reducing its emissions by 2050. We have to address global warming as the most important issue to deal with.
We also finance other aspects of sustainability, such as social impact. We have a portfolio of SMEs that operate in sectors that we call vulnerable and strategic, whose workforce (employees) have little access to formal education.
We also have a credit program for companies led by women, with whom they have a connection to the health or education value chain. All this from a sustainable portfolio that has been growing and generating a positive impact on society. This portfolio is almost 18% of our total portfolio.
In addition, we have an initiative called Green Conscience, where we give our clients the option of having their deposits exclusively used for green projects. We make users part of the bank’s efforts and make them feel that they are making a difference. This program has 62,000 clients.
In 2022 there were banking entities that suffered strong cyber attacks. In this context, people, on social networks, began to recommend to the users of these banks that they switch to Produbanco. They even highlighted their customer service channels, how easy it is to manage their mobile application. How have you achieved this brand perception?
More than the brand is the purpose of Produbanco. Our purpose, being a green bank, has such a strong commitment to customers that it connects with the entire spectrum. This connection turns us into a kind of allies.
All our platforms, interfaces and even our processes themselves are designed around the client. It is very important to listen to what the customer wants and needs. In credit we seek to customize the structures and not arrive with a prefabricated product. We adjust to the business. We apply the same for the development of our application. (YO)
Source: Eluniverso
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