Raiffeisenbank Launches a Lending Programme for Used/Secondhand CarPurchase

Starting July 1st Raiffeisenbank offers carloans secured by pledge on the used car for the term from 1 to 3years.

Raiffeisenbank offers loans for used cars, notmore than 5 years old, imported into Russia by an official dealer,in the amount from EUR 5 500 to EUR 80 000.

First year insurance payment can be alsoincluded into loan amount but still not more than 70% of car pricecan be financed through a loan. Cost of the car is based on thepurchase-sale agreement.

Interest rate varies from 10% to 14,5% p.a. Loanissuance commission is from 0 to EUR/USD 200.

Today Raiffeisenbank customers can make use ofthe full range of banking products including current accounts anddeposits opening, lending, VISA and MasterCard, online banking,asset management (Raiffeisen Capital Asset Management Company) andpension fund services (Non-State Pension FundRaiffeisen).

As of 30 June 2004 individual clients''deposits exceeded USD 538 mln, and loan portfolio was over USD 221mln (130 mln of them - car loans).

In terms of assets the Bank is ranked 12th amongTop Russian banks and 5th in terms of profitability based on 2003results (RA Interfax). Raiffeisenbank is ranked 4th amonglargest Russian banks in terms of consumer lending and 7th in termsof private deposits.