OTP expects sixfold growth this year

Hungarian OTP Group expects the business of its bank and insurance company in Romania to grow by five or six times, OTP Bank Romania”s general manager Frigyes Harshegyi says. The volume of loans the bank granted last year amounted to 10.8 million euros and a fivefold or sixfold growth in their volume would mean about 60 million euros. At the same time, the general insurance company Ceccar-Romas, acquired by OTP for 2 million euros at the end of last year will also use the bank”s network set to reach 70 braches this year besides its own 40-office network to sell its products. “Every branch of the bank will also include sort of an office for the insurance company. We will also sell our insurance products through brokers, as well,” Harshegyi said. At present, Ceccar-Romas is working with about 1,000 insurance brokers. Harshegyi says it is yet undecided whether the company will hire more agents to boost its sales. Such a decision depends on how well distribution through the bank works. OTP Bank”s general manger believes that approximately 90% of the insurer”s sales will be done through the bank. ZF