ZIRAAT BANK MAINTAINED ITS POSITION AS TURKEY’S LEADING BANK AS WELL AS ITS MOST PROFITABLE BANK IN 2022.

THE BANK DEVELOPED ITS POSITION OF BEING THE STRONGEST NATIONAL BANK IN A YEAR WHICH WAS MARKED BY SWEEPING CHANGES AND THE GLOBAL ENERGY CRISIS, PROVIDED ITS RECOMMENDATIONS TO ITS STAKEHOLDERS AND EXPANDED ITS BUSINESS VOLUME.

AT THE END OF 2022, ZIRAAT BANK’S TOTAL ASSET VOLUME STOOD AT TL 2,312 BILLION AND ITS EQUITY AT TL 202.4 BILLION. FOCUSING ON SUPPORTING ITS EQUITY WITH SUSTAINABLE PROFITABILITY, THE BANK PROVIDED A RETURN ON EQUITY OF 26.4% IN 2022 AND RETURN ON ASSETS OF 2.3%.

THE SHARE OF ZIRAAT BANK’S CASH LOANS, WHICH STOOD AT TL 1,266 BILLION AT THE END OF 2022, IN ITS ASSETS STOOD AT 55%.
THE BANK’S TOTAL DEPOSITS EXPANDED TO TL 1,739 BILLION IN 2022, ACCOUNTING FOR A 73% SHARE OF LIABILITIES. ZIRAAT BANK MAINTAINED ITS SECTOR LEADERSHIP IN TOTAL DEPOSITS IN 2022.

CORPORATE AND COMMERCIAL BANKING

Ziraat Bank’s strength in providing low-cost funding and its liquidity advantages stand out as the most important factors behind the Bank’s healthy growth in the Corporate/Commercial Banking business line.

With its wide variety of products and services and an extensive distribution network, the Bank meets all kinds of its customers’ financing needs with the most effective solutions and operates at every stage of the economic cycle.

Ziraat Bank continued to serve its Corporate/Commercial Banking customers with a comprehensive range of products in 2022.

The “Investment Support”, “Export Support” and “Business Expenditure Support” loan packages continued to be provided within the scope of ongoing cooperation between Ziraat Bank and the KGF. As of the end of 2022, the Bank had extended TL 3.5 billion in loans from the Investment Support Package, TL 4.2 billion in loans from the Export Support Package and TL 5 billion in loans from the Operational Expenditure Support Package.

The “Manufacturing-Based Import Substitution Support Package”, which was introduced in the third quarter of 2021, continued to be offered with the aim of financing the investments of enterprises holding the investment incentive certificate issued by the Ministry of Industry and Technology at affordable rates and with KGF guarantee support. The total volume of loans extended through this package had reached TL 4.2 billion by the end of 2022.

In recent years, in view of the widespread use of solar power generation, the installation of licensed/unlicensed solar power plants and the increase in demand from companies for roof-top solar power plant investments in their facilities and factories, the “Solar Power Plant/Roof-top Solar Power Plant /Licensed Solar Power Plant Investment and Operational Loans” were added to Ziraat Bank’s range of environmental loan products within the scope of sustainability. A total of TL 8.5 billion had been disbursed through these loans as of the end of 2022.

“The CBRT Investment Committed Advance Loan (YTAK)” was introduced to increase exports by providing export support, to contribute to localization by reducing imports, to generate foreign exchange-earning service revenues and to support investments with high added value within the scope of sustainable development goals. This product, which had only been used by non-SME companies, was also been made available to public banks. As of the end of 2022, a total of TL 10 billion in loans had been disbursed through this package.

Support Packages for SMEs
With the protocol signed between Ziraat Bank, KOSGEB and the KGF, the “KOSGEB Employment Contracted SME Financing Support Package” was put into use for financing investment and/or working capital for customers officially committed to creating and maintaining registered employment for Turkish citizens and Syrians under Temporary Protection, or Persons under International Protection (UKSK) in selected provinces affected by migration. A total of TL 660 million in loans was disbursed through the loan package.

With the protocol signed between Ziraat Bank and the KGF, the “Construction Services Financing Support Package” was introduced in order to meet the expenditures of SME and non-SME construction companies to assist in the completion of their ongoing housing projects, and TL 1 billion in loans were made available.

The “KGF Support Loan 2 (2nd period)” was introduced in the 4th quarter of 2022 in order to meet SME needs for guarantee limits and thus ensure the continuity of the support extended to SMEs. A total of TL 471 million in loans was extended within the scope of the loan package.

Within the framework of the loan guarantee protocol signed between Ziraat Bank and the Export Promotion (HDI), the second “HDI Equity Guarantee Support Package” was offered to businesses which are exporters or have the potential to be exporters, and real/legal person businesses and sectors earning foreign exchange. A total of TL 823 million in loans had been extended in this context as of the end of 2022.

International Financial Institution	Project Topic	Amount	Maturity
World Bank (IBRD)	Financing for SMEs (SME II)	USD 200 million	25 years
World Bank (IBRD)	Financing for SMEs through leasing companies as an APEX loan (SME III)	USD 300 million	30 years
World Bank (IBRD)	Financing energy efficiency projects of SMEs	USD 67 million	30 years
European Investment Bank (EIB)	SME financing	EUR 100 million	10 years
European Investment Bank (EIB)	SME and MIDCAP financing (5 projects)	EUR 500  million	8 years
European Investment Bank (EIB)	Financing IPARD investments approved by the Agricultural and Rural Development Support Institution	EUR 100 million	14 years
German Development Bank (KfW)	Financing SMEs operating in the agricultural sector or rural areas	EUR 150 million	10 years
Council of Europe Development Bank (CEB)	Micro and SME business loan (to create employment or protect existing jobs)	EUR 100 million	7 years
French Development Agency (AFD)	Financing for SMEs which process agricultural products and food of animal origin	EUR 100 million	12 years

FINANCING OF THE AGRICULTURAL SECTOR

Ziraat Bank continuously contributes to the sector with the loans it has extended under favorable conditions and many new practices it has implemented.

Ziraat Bank continues to support the development of the agricultural sector in our country with its “Financing the Agricultural Ecosystem” strategy.
Ziraat Bank, which has been the leading supporter and largest source of finance for the Turkish agricultural sector since its establishment, has unwaveringly contributed to the sector with the loans it has extended at preferential terms and through the range of new practices which it has implemented.

In addition to its uninterrupted financing support for the agricultural sector, Ziraat Bank also develops various projects aimed at resolving the sector’s structural problems and facilitating direct access to finance. These projects are implemented through joint work with the related ministries, institutions, establishments and agricultural organizations.

In this context, the Bank prioritizes diversification of credit products which will facilitate access to financing for small business owner farmers, who constitute the most critical link in the agricultural value chain.

Investments and operations aimed at increasing agricultural businesses’ storage, processing, packaging and marketing capacities for their own production are among the Ziraat Bank’s focus areas, with a special emphasis on the following areas in operations carried out in line with this objective:

• contracted production model,
• controlled undercover farming,
• increasing the production of products which will reduce reliance on imports,
• building agricultural enterprises up to an economic scale,
• use of idle operating capacities,
• increasing the agricultural mechanization of businesses,
• projects to encourage the use of technology to increase productivity in agriculture,
• investment projects which will create added value in agricultural production and respond to our country’s needs,
• licensed storage and cold storage depot investments.

In 2022, Ziraat Bank provided 770 thousand customers with TL 205.3 billion in loans to finance the agricultural sector, adding 208 thousand new customers to the portfolio.

TL 232 billion in agricultural loans
The balance of agricultural loans provided from the Bank’s resources had reached TL 205.3 billion by the end of 2022, and the number of customers with loans was nearly 770,000. The number of new customers added to the portfolio exceeded 208,000.

As of the end of 2022, the balance of agricultural loans disbursed from our bank’s resources totalled TL 232 billion with more than 1 million loan customers.

35% of Ziraat Bank’s agricultural loan portfolio consists of investment loans while 65% of it consists of working capital loans.

On the other hand, the Bank also mediated in the payment of TL 434 million in loans from the funds provided by various institutions to a total of 2,402 individuals determined by the related institutions. As of the end of 2022, the balance of the fund-based loan payments included in this scope was TL 2.2 billion, and the number of customers was 77,000.

Overall, the total volume total of loans extended by Ziraat Bank from its own resources to finance the agricultural sector, together with the fund-based credits which it mediated in had amounted to TL 233.7 billion as of the end of 2022, and the number of loan customers reached 1 million 78 thousand people.

In 2022, TL 172.2 billion of subsidized loans were extended to 679 thousand producers and companies operating in the agricultural sector.

Low interest rates on agricultural loans
In line with the decree and communiqué on reduced interest rate loans, Ziraat Bank continued to extend loans to its customers operating in the sector at affordable interest rates within subsidized rates which are defined on the basis of production areas.

In 2022, TL 172.2 billion in subsidized loans, which carry preferential interest rates, were disbursed to around 679,000 producers and companies operating in the agricultural sector.

Ziraat Bank’s financial model contribution to agricultural-based cooperation between industrialists and producers

Contracted Production
Within the framework of contracts entered into with 33 firms operating in a number of areas including vegetable farming, seed farming, broiler breeding, pepper and tomato cultivation and sugar beet production, Ziraat Bank’s balance of contracted production loans extended to more than 22,000 contract producers stood at approximately TL 1.5 billion at the end of 2022.

Producer Financing System
The Producer Financing System was introduced in the second half of 2020 in line with Ziraat Bank’s strategy of “Financing the Agricultural Ecosystem”. This system was put in place to promote the development of direct product trade between agricultural producers, notably producers of fresh vegetables, fruit and red meat, and buyers (such as chain markets, meat integrated facilities, canned food factories, ready-made food factories) without the use of intermediaries (such as brokers or merchants), while reducing the influence of intermediaries in the supply chain on the formation of the final product price and contributing to the formation of more reasonable product purchase prices and consumer prices by providing maturity advantages to buyers.

Within the scope of the system, approximately TL 1.5 billion of loans had been extended for the sale of agricultural products as of the end of 2022.

Crop production loans
In 2022, Ziraat Bank extended a total of TL 68.5 billion in loans to 496,000 customers for vegetative production. As a result of this lending under various areas, the balance of loans disbursed for crop production had reached TL 75 billion as of the year-end, with the number of customers receiving credit reaching 642,000.

Livestock loans
In 2022, Ziraat Bank extended a total of TL 78 billion in livestock production loans under various names to 271,000 customers. As of the end of 2022, the balance of loans disbursed for livestock production had reached TL 90.9 billion with the number of customers receiving credit reaching 341,000.

Aquaculture loans
During the same period, Ziraat Bank extended TL 1.7 billion in loans to 1,771 customers under various titles in the field of aquaculture. As of the end of 2022, the balance of loans disbursed in this area reached TL 2.4 billion and the number of customers receiving such credit was 2,713.

Support for modern pressurized irrigation systems
Ziraat Bank believes that the widespread use of modern pressurized irrigation systems in agricultural irrigation will reduce irrigation costs and increase productivity and profitability in agricultural production. In a bid to contribute to the effective and efficient use of our country’s water resources, the Bank offered “Saving Irrigation Loans” to producers in order to expand the loan volume and customer portfolio in this area.

In 2022, Ziraat Bank extended a total of TL 3.7 billion of loans for modern pressurized irrigation systems to 13,000 individuals. The loans extended paved the way for the irrigation of approximately 1.4 million decares of land with modern pressurized irrigation systems. These loans, which reduced the use of water by 30-40% with drip and sprinkler systems enabled significant water savings.

Ziraat Bank disburses the tractor and agricultural mechanization loans in order to increase the mechanization level of agricultural businesses and to ensure high efficiency and profitability in production.

Agricultural mechanization loans
Ziraat Bank disburses the tractor and agricultural mechanization loans in order to increase the mechanization level of agricultural businesses and to ensure high efficiency and profitability in production. TL 26.2 billion in tractor loans were extended to nearly 70,000 customers, along with TL 32.9 billion in agricultural mechanization financing loans to 122,000 customers in 2022.

As of the end of 2022, the Bank had 186,000 customers using a total of TL 35.1 billion in tractor loans, and 271,000 customers using TL 43.7 billion in mechanization loans.

Limits for Small Equipment Loans, designed for the purchase of small agricultural tools and equipment needed by agricultural enterprises owned by real or legal persons to continue their activities in efficiency and profitability, were increased from TL 50,000 to TL 100,000 in this period. A total of 41,000 customers benefited from Small Equipment loans in 2022 with approximately TL 2.7 billion in loans extended in this context.

I Have Many Reasons to Live in My Village-Small Cattle Project
Ziraat Bank launched the “I Have Many Reasons to Live in My Village” project in the last quarter of 2020 in order to increase the number of small cattle (sheep and goats) and develop small cattle breeding.

The “I Have Many Reasons To Live In My Village” project had the following aims;

• increasing the scale of enterprises operating in the field of small cattle,
• bringing idle operating capacity into production,
• providing regional development with local sheep breeding,
• increasing demand for domestic-born female livestock, creating a market as well as reducing livestock imports,
• diversification of financial solution alternatives for small businesses.

Under the “I Have Many Reasons to Live in My Village” project, the Bank signed a protocol with four governorships in 2022. In this period, the credit limits that can be used within the scope of the project were increased from TL 150,000 to TL 250,000, and the period of benefiting from the project was extended until 31 December 2023.

The “I Have Many Reasons to Live in My Village-Cattle” Project
Ziraat Bank introduced its “I Have Many Reasons to Live in My Village - Cattle Breeding” Project for producers operating in cattle dairy farming at the end of October 2022.

The project set out with the following targets;

• to enlarge the scale of enterprises operating in cattle dairy farming with qualified animal breeds,
• diversification of financial solution alternatives for small businesses,
• bringing idle operating capacity into production,
• increasing demand for domestically-born female livestock, creating a market for the excess demand for female livestock on existing dairy farms, and supporting efforts to reduce imports of livestock.

The protocol signature processes continue between the central unions and head offices of agricultural producer organizations which will cooperate with Ziraat Bank in the project. The Bank plans to ensure producers benefit from the extensive use of the project in 2023.

Financing the Agricultural Ecosystem
Ziraat Bank offered the Young Farmer Loan, Women Farmer Loan, Gold Hive Loan, Solar Powered Agricultural Irrigation Loan, Producer Cooperative Loan and Agricultural Transfer Loan products in April 2022 within the scope of its new strategy in agricultural banking, “Financing the Agricultural Ecosystem”.

Young Farmer Loan
The Young Farmer Loan was established with the aim of increasing agricultural production, ensuring sustainability in the agricultural sector, supporting and developing agricultural enterprise, creating alternative business lines for young people in our country and attracting young people to a career in agriculture.

Within the scope of the loan aimed at meeting the financing needs of real and legal persons who will engage in agricultural production activities, TL 1 billion in loans were extended to 3,433 producers in 2022.

Within the scope of the Women Farmer Loan, which was established to meet the financing needs of real and legal persons who will engage in agricultural production activities, TL 328.3 million in loans were extended to 1,169 producers in 2022.

Women Farmer Loan
The Woman Farmer Loan aims to support entrepreneurship among women farmers, increase levels of income, create alternative sources of income and contribute to the employment of the rural female population.

Within the scope of the Women Farmer Loan, which was established to meet the financing needs of real and legal persons who will engage in agricultural production activities, TL 328.3 million in loans were extended to 1,169 producers in 2022.

Gold Hive Loan
The Gold Hive Loan was established to increase production and quality by increasing the number of enterprises operating in this field in Turkey, which ranks first in the world in beekeeping, to develop employment in rural areas and to provide regional development by creating alternative sources of income.

Within the scope of the loan, Ziraat Bank extended TL 527.4 million of loans to 4,050 producers in 2022.

A total of TL 879.8 million in loans were extended to 1,490 producers within the scope of the Solar Agricultural Irrigation Loan in 2022.

Solar Agricultural Irrigation Loan
With energy costs high on the agenda throughout the country, the Solar Agricultural Irrigation Loan was established in order to expand the use of solar energy systems, reduce energy costs in agricultural production, increase efficiency and profitability and thus contribute to the effective and efficient use of renewable energy resources in our country.

A total of TL 879.8 million in loans were extended to 1,490 producers within the scope of the loan in 2022.

Producer Cooperative Loan
Producer Cooperative Loan supports the transition from agricultural products to value-added products, encouraging clustering in accordance with the product pattern, developing a culture of doing business together, allocating long-term investment and business loans at preferential interest rates, supporting producers seeking to offer their products in the field or processed agricultural products directly to consumers - thus from the village to the city. The loan was established to contribute to agricultural employment in rural areas by reversing migration.

A total of TL 68.8 million in loans were extended to 28 producers in 2022 within the scope of the Producer Cooperative Loan.

Agricultural Transfer Loan
In order to enable agricultural enterprises to continue their activities and increase their repayment power, under the Agricultural Transfer Loan, all agricultural debts which producers has with other banks are closed and transferred to Ziraat Bank.

Within the scope of Agricultural Transfer Loan, TL 326.9 million in credit was extended to 1,773 producers in 2022.

Ziraat Bank’s other steps in Agricultural Banking in 2022

• Within the scope of the Agricultural Electricity Credit, which was established to contribute to agricultural production by providing irrigation unions, irrigation cooperatives and real or legal person agricultural producers with the opportunity to regularly pay their accumulated and/or current electricity bills, TL 611.9 million of loans were extended to 1,855 producers.
• The Cereal Support Advance was established in 2022 for producers of barley, wheat, rye, oats, triticale and paddy (cereals) to support them in their purchases of diesel and fertilizer. A total of TL 3 billion in loans were extended to more than 250,000 producers within the scope of this loan.
• A loan of TL 132.4 million was extended to 177 fishermen within the scope of the Fisherman Support Loan, which was established to support the financing of operating expenses in the 2022-2023 fishing season.

Agricultural Ecosystem Meeting
The “Ziraat Bank Agricultural Ecosystem Meeting”, held to mark World Farmers Day, was attended by the Minister of Treasury and Finance, Dr. Nureddin Nebati, the Minister of Agriculture and Forestry, Prof. Dr. Vahit Kirişci, the General Manager of the Bank, Alpaslan Çakar, members of the Board of Directors and industrial stakeholders on 14 May 2022. The meeting, which hosted more than 750 participants, attracted significant media attention. The summit, which was covered by 16 television channels with live broadcasts and interviews, was also widely covered in the print and visual media.

A number of talks took place during the summit on subjects such as “The Future of Agriculture and Sustainability”, “Experience Speaks”, “Young Farmers” and “Women Farmers”, and panellists shared the developments and their experience in agriculture with the participants. The broad range of participants, coming from different cities and regions, proved beneficial in terms of the exchange of information and connecting businesses.

Ziraat Bank’s Retail Banking business line meets the banking needs of a large consumer group spread across the country.

RETAIL BANKING

Ziraat Bank’s Retail Banking business line meets the banking needs of a large consumer group spread across the country. In 2022, the Bank continued to serve its customers, including students, pensioners, traders, entrepreneurs, housewives and farmers with a diverse range of products through electronic service channels as well as the branches.

Ziraat Bank provided TL 47 billion of housing loans in 2022 within the scope of housing finance, and the Bank’s total housing loan portfolio reached TL 112 billion.

Ziraat Bank’s consumer loan volume stood at TL 55 billion at the end of 2022 with TL 43 billion in loans being extended during the year, while vehicle loans totalled TL 7.8 billion with TL 8 billion in loans extended during the year.

Within the scope of its focus on supporting green transformation and sustainability, Ziraat Bank extended TL 353 million in Green Housing Loans and TL 36 million in Green Vehicle Loans in 2022. The Bank also extended TL 23 million in Housing Heat Insulation Loans, a product commissioned in 2022.

Within the scope of the revised protocol between the Social Security Institution and Ziraat Bank regarding the promotion payment to pensioners, 1.8 million people were paid TL 6 billion in promotions.

In 2022, Ziraat Bank continued to market the State Subsidized Dowry (Çeyiz) and the State Subsidized Housing Account products set out in legislation drawn up by the Ministry of Family, Labor and Social Services and the Ministry of Treasury and Finance to promote savings among the general public. Accordingly, the Dowry Account had 3,778 customers with a balance of TL 57 million, while the Housing Account had 694 customers and a balance of TL 34.6 million as of the end of 2022.

The Bank transmits state subsidy applications from customers who have carried out payments regularly for three years to the Ministries, and state subsidies are deposited in the accounts of qualifying customers.

TL Currency Protected Time Deposits Data for 2022

TL Currency Protected Deposits		Accounts Converted from FX		YUVAM Account		General Total
Number of Accounts	Balance (TL billion)	Number of Accounts	Balance (TL billion)	Number of Accounts	Balance (TL billion)	Number of Accounts	Balance (TL billion)
376,307	83.3	150,320	83.8	18,491	16.2	545,118	183.3

Quarter Gold Coin Account Data for 2022

	Quarter Gold Coin Time Deposit Account	Quarter Gold Coin Demand Deposit Account
Number of Products	29	1,345
Number of Customers	29	1,345
Number of Quarter Gold Coins	1,054	39,920

Insurance Activities
As of 31 December 2022, Ziraat Bank had obtained TL 1.8 billion in commission revenues from agency activities.

Preparations for the issue of policies in Ailem Ziraat Assurance (AZG) through Internet Banking have been completed. Thus, in addition to issuing the policy, the policy fee will be paid and any previously issued policies will be cancelled.

Ziraat Bank develops and rapidly takes measures which will bring ease to the lives of its customers in payment and collection solutions.

Operational Activities
Ziraat Bank also develops and rapidly takes measures which will bring ease to the lives of its customers in payment and collection solutions. In 2022, the Bank continued its efforts to simplify and centralize its operational processes, digitize its back-office operations and develop digital channels.

In the 2022 operating period, more than 190 million transactions were carried out through the Operations Center. Some of the activities carried out during the year and the results obtained are provided below:

• While reply letters regarding lien, precautionary and deposit research transactions physically sent to the Head Office and the head office by the branches which were sent to the relevant institutions physically by post are also automatically sent via KEP. A total of 252,000 mails were transferred to the electronic environment annually, contributing to sustainability by saving approximately 504,000 sheets of paper and 252,000 post bags per year.
• The integration of the State Accounting Information System for the electronic transmission of instructions sent by the public institutions (including the revolving fund enterprises and the youth and sports provincial directorates) to the Bank got underway.
• The new version of the OPI app, which allows customers to directly transmit their transaction instructions to the Operations Center via the Internet and Mobile channels was made available to customers. The new version of the app offers a more functional user experience and increased security. Efforts are underway to expand the app content with foreign trade transactions.
• The KMYTEFOL/E-Invoice Payment Transactions screen was opened for branches in order to pay PTT E-Invoices for mail, cargo and letter sending transactions which are automatically forwarded to branches and PGMs without creating a job request, thus simplifying the process.
• Within the scope of analytical modelling studies for OPI and customers that can be directed to collective transactions, customer variables and rule sets were created using Artificial Intelligence and machine learning, with statistical models running on analytical platforms determining the customer base that could be directed to OPI and bulk transactions, which are more cost-effective and efficient for the Bank, and work was initiated for this audience.
• The integration between Ziraat Bank and Yapı Kredi Bank that receipts could be provided and promissory notes processed in an electronic environment, eliminating the need to send Yapı Kredi Bank bills to OPİM from the Job Request Entry screen.
• With the integration between Ziraat Bank and KOSGEB, it has been possible to query the status of customers as SMEs. Inquiries into the customers of legal entities and private companies have been completed and information pertaining to these individuals has been recorded in the database. With the integration, the “KOSGEB SME Inquiry” (MVTTKSGB) screen was put into use so branches could conduct inquiries regarding the characteristics of the SMEs, their scale and the SME validity dates of the customers. The integration is expected to provide added value in segmentation, lending, reporting and required reserve practices of SME real and legal customers.
• Work on the centralization of authorization requests has been completed, and the correspondence structure between units has been eliminated. The “Defining My Screen as a Role” and “Screen Request for My Role” options were created on the Key/OPCTITLP-Job Demand Entry screen and made available to all Head Office units. Under the new structure, Head Office units will be able to define their screens without correspondence with their desired roles, and the units which have roles will be able to request screens that are not under their ownership over the system.
• After the integration between the power of attorney inquiry and the Notaries Union of Turkey (TNB), the integration was also completed for the “Signature Circular Inquiry” procedures. The name of the current “Power of Attorney Inquiry (MVTTVEKS)” screen was changed to “Notary Public Document Inquiry”. With the integration, it was possible to instantly query the signature circulars issued on or after 1 March 2016, and to check the accuracy of the signature circular by comparing information on the document with the information in the TNB system.
• In line with the goals of digitalization transformation and continuity being pursued by Turkey and by the Bank, all applications for Scholarship and Loan processes with the KYK Yurt are carried out in a centralized structure, independent of location. Accordingly, students have been able to submit requests to the Bank without needing to go to the bank, and access financial services remotely and through digital channels.
• In line with a scenario of existing telephone operators being unavailable in the event of an emergency, satellite phones have been positioned in Ziraat Finance Group’s premises in order to ensure continuity in communication, allowing action to be taken rapidly in emergency situations.

Ziraat Bank aims to ensure that its banking products and services are able to compete with the sector and meet customer needs in all aspects and create cost-free sourcing and cross-selling opportunities with its activities in this field.

Effectiveness and efficiency in cash management applications
Ziraat Bank aims to ensure that its banking products and services are able to compete with the sector and meet customer needs in all aspects and create cost-free sourcing and cross-selling opportunities with its activities in this field.

Successfully fulfilling its role as a market maker in the sector with its rational pricing strategy, the Bank maintained its effective and efficient cash management activities in 2022 without any loss of momentum.

The number of businesses covered under an agreement within Ziraat Bank’s Direct Debit System (DDS) stood at 1,141 at the end of 2022. The total collection volume reached TL 83.5 billion.

In addition, the Micro DDS (MDDS) product was introduced in order to guarantee the receivables of small-scale parent companies with extensive dealer and sales networks or to include dealers with relatively small volumes in the relevant sector into the system, allowing such companies to customarily take out instalment loans and offering them the opportunity to defer instalments. The number of companies, with which agreements were made within the scope of this product, increased to 746.

Ziraat Bank intermediates in invoice and other payments with hundreds of contracted organizations, and offers its customers the ability to carry out their payments through ATMs, Internet Banking, Mobile Banking and Automatic Payment channels in addition to the branches.

Within the scope of the Corporate Collection System, the Bank made 380 million collections making a total of TL 472.9 billion from contracted institutions in 2022. As of the end of 2022, the Bank had 14.4 million automatic payment orders for corporate payments. In addition to these, 57.7 million Tax and Customs collections amounting to TL 951.9 billion were performed.

In addition, in 2022 the Bank continued to offer customized payments, electronic cheques/notes, accounting integrations, pool accounts and cash collection services to meet the needs of its customers.

Ziraat Bank continues to invest in modern infrastructure systems in order to intensively use technology in its business processes and to integrate technology into its products and services.

DIGITAL BANKING

Ziraat Bank continues to invest in modern infrastructure systems in order to intensively use technology in its business processes and to integrate technology into its products and services.

Ziraat Bank maintained its efforts to improve the quality and efficiency of its IT infrastructure in 2022, with the aim of bringing ease to the experiences of its customers in the digital channel experiences and offering fast and new solutions in different transaction sets.

As a result of the efforts to increase the diversity of digital services offered to customers, the number of active digital banking customers had increased by 14.1% as of the end of 2022 compared to the same period of the previous year to reach 19.4 million. In the same period, the number of internet and mobile banking customers increased by 14.8% to reach 31.5 million.

The ratio of financial transactions carried out outside the branch in total transactions stood at 94.1% in 2022.

In the last year, the number of customers who only performed transactions on the internet and through Ziraat Mobile, and never carried out any transactions in the branch, stood at 11.8 million, while the number of customers who only carried out transactions on the internet and mobile channels, and through ATMs, but who never carried out any transactions at the branch was 14.6 million.

Internet Banking and Mobile Banking
Serving a wide individual audience spread throughout the country, Ziraat Bank effectively reaches its customers through electronic service channels as well as the branches. In 2022, the Bank maintained its innovative and pioneering practices aimed at increasing usage rates and raising the effectiveness of alternative channels.

Within the scope of its open banking activities, Ziraat Bank is preparing to offer its individual and corporate customers the opportunity to view their account movements and balances in other banks and institutions from Ziraat Mobile and the Internet Branch and to perform money transfers. With these services, the Bank aims to offer its customers preferential offers and campaigns which meet their needs. Customers will also be able benefit from banking services more quickly and efficiently.

Ziraat Assistant was commissioned with the aim of increasing the variety of products and services offered through Ziraat Bank’s digital channels. The application, which uses Artificial Intelligence, allows customers to meet their needs with instant solutions without needing to apply to the branch or the Customer Communication Center. The virtual assistant, which is constantly trained in line with customer demands and questions, is able to offer more appropriate and accurate answers and direct customers to the right menus and screens. It is also possible to directly operate within the virtual assistant conversation window.

Another project being carried out by Ziraat Bank with the aim of diversifying and enriching its digital products and services is the Financial Agenda. Within the scope of this process, customers will be given the opportunity to follow all financial transactions, account movements and expenditures on their accounts easily and practically from a single screen every day on a consolidated or account basis. In addition, weekly and monthly money inflow, money outflow and net status information will be monitored.

Within the scope of other developments realized in 2022, the following steps were taken;

• Foreign Currency Transfer Entry (SWIFT) and Import File Opening and Transfer transactions could be performed from the Ziraat Mobile app,
• Within the scope of efforts to provide quick access to e-government transactions from a single point, all taxes can be viewed and easily paid with one click under the “Show All My Taxes” option added to the E-Government Transactions menu,
• Customers may also pay bills which they do not owe over internet banking,
• A longer display of account transactions could be presented via digital channels,
• Closed time and demand deposit accounts were displayed through the internet and mobile banking channels.
• Address and identity information fields, where requested by the customer, could be shown in the account transactions menu of the Internet Branch and Ziraat Mobile applications or in the receipts shown in the transaction results,
• Corporate Internet Banking, which is available only for legal entity customers, may also be defined for real customers who meet the definition of a sole proprietor or farmer,
• Both main and sub-users of Corporate Internet Banking and Corporate Monitoring could renew their passwords through Ziraat Mobile with the new Turkish ID Cards, using biometric verification.

The introduction of remote customer acquisition processes saved paper and energy in the branch channel and reduced wastage. By carrying out this process through the Ziraat Mobile app, there was a reduction in environmental pollution and increase in customer satisfaction.

The introduction of Foreign Currency Transfer Login (SWIFT), Import File Opening and Transfer transactions on the mobile channel allowed customers to carry out related transactions through digital channels, supporting customer satisfaction. As these transactions, which had largely been carried out in the branch, can now be carried out through digital channels, the amount of paper used in the processes was decreased, reducing the amount of energy used on completing the processes.

ATM
Ziraat Bank has a 14% share of all ATMs in the banking sector with a total number of 7,276 ATMs and a single location at 172 points. Approximately 22% of all transactions in the sector are performed through Ziraat Bank ATMs.

Ziraat Bank offers 270 ATMs configured for orthopedically handicapped customers and 5,352 ATMs for visually impaired customers within the scope of barrier-free banking. With the purchases of the new ATMs, the Bank plans to increase the number of ATMs for the visually impaired in the coming periods.

In order to reduce environmental pollution and save paper, 1.7 million customers were informed in 2022 and were given the opportunity to decline receipts in their preferences. Receipts may be accessed electronically by choosing the “send e-mail” option in ATM receipt preferences menu, an option selected by approximately 85,000 customers. This aims to increase customer satisfaction by seeking to change the receipt preferences through mobile and internet banking.

As of the end of 2022, there were a total of 11 million Ziraat Bank credit cards in circulation, with an 11.1% share in terms of the number of credit cards and a 9.9% market share in terms of monthly turnover.

Industry leadership in card systems
As of the end of 2022, there were a total of 11 million Ziraat Bank credit cards in circulation, with an 11.1% share in terms of the number of credit cards and a 9.9% market share in terms of monthly turnover. The Bank is expected to maintain its leadership in this area in the medium and long term. Having increased its number of debit cards to 45.3 million in the same period, the Bank also maintained its leadership in the sector in terms of its market share of monthly shopping turnover, with a 23.5% share.

As of the end of 2022, there were a total of 1.33 million Ziraat Bank member businesses and 699,000 physical terminals. With a total turnover of TL 197.7 billion in member businesses in the fourth quarter of 2022, the Bank commanded a 15.1% market share in turnover as of the end of 2022. In terms of member business, the Bank maintains its sector leadership in terms of the number of ÖKC (Payment Recorder Device).

In the field of card payment systems, Ziraat Bank introduced a number of products and services in 2022 which were tailored to market conditions and setting the Bank apart in the sector by offering a wide array of new features.

Using Agricultural Support Payments with the Card
In line with its strategies for sustainability in agriculture and a cashless society, Ziraat Bank has ensured that Agricultural Support Payments can only be used from member businesses on spending suitable for their purpose, and funds withdrawn by debit card rather than cash.

Using the KGF Secured Loans with the Card
By establishing an infrastructure so Credit Guarantee Fund-guaranteed loans could be used through Ziraat Bank cards and in certain sectors, the Bank supported the use of loans in accordance with their purpose, promoting cashless living and tackling the informal economy.

The TROY Credit Card
After its work on debit cards, Ziraat Bank completed preparations for the production of credit cards over the TROY scheme. In this way, the Bank aims to contribute to the sustainability of the Turkish payment ecosystem.

Mobile Contactless Payments
In line with its vision of digitalization and a cashless society, Ziraat Bank introduced contactless payments to its credit cards as well as debit cards through NFC technology via mobile devices, eliminating the need for card plastic.

Payments with Bankkart Lira
With the Pay with Bankkart Lira feature, Ziraat Bank customers may use Bankkart Liras they have earned through digital channels whenever they wish, from the moment they carry out their shopping right up the closing date. This feature is aimed at encouraging customers to use digital channels.

The Business Model of the Future: Ziraat Super Branch
The Ziraat Super Branch service model has been designed in accordance with Ziraat Bank’s vision of automation and digitalization in banking processes. With this model, the Bank aims to provide its retail customers with the best customer experience by providing banking services through digital channels without needing to go to the branch.

Ziraat Bank plans to position its customers in the Ziraat Super Branch, which in contrast to a traditional branch does not need the physical space of the traditional branch and will completely eliminate the use of paper, as part of the work it has started in the second quarter of 2022 in line with environmental and social sustainability criteria. At the same time, the Bank aims to provide simple, reliable, fast and easier access to all banking transactions with its “Bank within a Bank” approach by expanding the range of advantageous services and offers presented through digital channels.

The Ziraat Super Branch offers customers advantages related to interest, fees and limits in many banking products such as deposits, loans, money transfers, investments and credit cards. In addition, the Bank aims to bring value to customers and create a positive customer experience with the advantages to be provided not only in banking products, but also in cooperation with companies from an array of different sectors through the platform infrastructure and in non-banking product/service offerings.

The development and improvement work carried out for Ziraat Super Branch customers aims to achieve the following;

• Expanding customer acquisition through digital channels,
• Increasing product ownership and efficiency by activating bank pool customers,
• By conducting analytical studies, determining Bank customers as potential digital customers according to their digital usage intensity, and inviting them to become Ziraat Super Branch customers,
• Offering additional transaction sets and banking/non-banking products to increase transaction diversity in the digital channels.

Ziraat Bank aims to expand its efforts in this area to all branches, thus enabling disabled customers to access ATM and internet banking services more easily.

Accessible Banking
Ziraat Bank supports the participation of those with disabilities in economic and social life through its systematic activities. Tactile surface materials can be found on the interior flooring and exterior surfaces of all branches of the Bank for the visually impaired, with a call button which disabled citizens may use for help when they come to the branch. Braille printed information boards are affixed to the outer doors with elevators offered for disabled customers in 51 branches and in the Head Office building.

Ziraat Bank aims to expand its efforts in this area to all branches, thus enabling disabled customers to access their products and services more easily and to use branch, ATM and internet banking services.

Future Technology Face Recognition
By activating the face recognition system in access checks, Ziraat Bank aims to provide high-level security which does not require physical contact in accordance with the contactless communication cycle that became part of our lives with the pandemic.

Barcode Project
The Barcode project, work on which is ongoing at Ziraat Bank, is aimed at increasing security in cash operations within the Bank, saving time and labor by creating real-time accounting records and increasing its reporting and analysis capabilities.

Under the project, which is planned to be expanded in 2023 and whose pilot studies continue in three PGMs, the manual process of group transfers will be terminated in both PGMs and the branches, and instant follow-up of the cash in the transfer phase will be possible.

CRM Projects

Digital CRM
Within the scope of the digital analytics project, work on Channel Value Segmentation, Demographic Segmentation, Channel Behavior Segmentation, Customer Channel Trending, Channel Migration Modelling and Customer Channel Abandonment (Churn) Tendency Modelling was completed in order to create the concept of Digital Customer in line with sector trends, taking the channel habits of customers into account.

Individual CRM
The following phases have been completed within the scope of the individual CRM project:

• Non-Bank Value Segmentation: Customers who do not appear to be of high value for the Bank but have a high working size in other banks were identified.
• Customer Behaviour Segmentation: Customers are segmented on the basis of all of their behaviors such as product preferences, communication preferences and campaign trends.
• Product Trend Modelling: Products which customers are most likely to use were identified.
• Customer Channel Abandonment (Churn) Tendency Modelling: Customers with a high tendency to move away from the Bank’s products and the Bank were identified.

These completed phases of the individual CRM project are intended to pave the way for the “right” suggestions being presented to the “right” prospective customers through the “right” channel at the “right” time, to develop customer-oriented campaigns and ensure that the Bank’s customers with a high tendency to leave the Bank and its products are persuaded to stay through various actions.

Ongoing phases of the Individual CRM project
Modelling on the individual CRM project Customer Lifetime Value and Next Best Action phases is ongoing.

• Customer Lifetime Value Modelling allows the Bank to determine how useful customers will be during the process of becoming a customer of the Bank and the level of potential value they can bring to the Bank,
• Next Best Action Modelling is aimed at determining the product usage policies of customers according to the model results by using all analytical model outputs, optimizing product offers and determining how the next products should be used.

With artificial intelligence and machine learning technologies, Ziraat Bank aims to get to know customers better, design customer-oriented campaign processes and reach the most appropriate customer group at the lowest cost.

Setup of the Analytical Platform (DATA ROBOT)
The installation of the Data Robot, which will be able to perform structured and unstructured data analysis quickly and effectively by accessing internal and external Big Data sources using Artificial Intelligence, Machine Learning and Deep Learning methods and algorithms, was carried out in order to create an end-to-end analytical software platform.

With Artificial Intelligence and Machine Learning technologies, Ziraat Bank aims to get to know customers better, design customer-oriented campaign processes and reach the most appropriate customer group at the lowest cost. The relevant platform is expected to pave the way for the more effective use of analytical models implemented at the Bank.

Data Governance Project
Ziraat Bank has established data governance processes and determined the following strategies to ensure end-to-end corporate management of data:

• To be a data-driven company which gains value from data with data and analytics, which is able to make decisions based on data,
• To create a corporate culture which recognises the value of data and places data at the heart of change,
• To ensure that data is managed with a common terminology between the Bank and Ziraat Teknoloji,
• To develop proactive approaches to data security.

The Business Dictionary created within Ziraat Bank’s data governance processes includes 3,500 business terms and 35 Data Clusters. In accordance with the Regulation on the Data Controllers Registry published within the scope of the Personal Data Protection Law No. 6698, the “Personal Data Processing Inventory” has been prepared and the entry of 900 processes containing personal data has been completed. In addition, in the field of data sharing, the Bank established an “Information Sharing Committee” in accordance with the BRSA’s Regulation on Sharing Confidential Information and reached a total of 850 data sharing processes in the current Data Sharing Inventory.

Data Quality Project
The Data Quality Project, which Ziraat Bank carries out as a part of its data governance processes, aims to measure the quality of data in line with the quality dimensions determined in the Bank, to increase data quality and to correct data at the source in order to make decisions based on data.

With the work carried out within this scope, the occupational information of 650,000 customers was updated and the empty postal code information in 40 million address records was filled.

Recognition of work carried out in the field of digital banking
Ziraat Bank won a number of awards in the PSM Awards 2022;

• Golden PSM award in the “Digital Security” category in recognition of its “IP Based Digital Security” project,
• Golden PSM award in the “Best Promotion, Marketing Success” category in recognition of the Bank’s “Artificial Intelligence Supported Agricultural Assistant” project,
• Silver PSM award in the “Innovative Customer Interaction and Experience” category with the project “Improving Corporate Customer Experience”

The Bank received the “Productive Project” award in the “Best Digital Customer Experience” category in recognition of its “Improving the Remote Customer Acquisition Process” project at the CX Awards Turkey.

In addition, Ziraat Bank won the “Best Mobile Application” award with its Ziraat Mobile Banking app at the award ceremony organized by the Ege University Management Club.

Currently, information security management at Ziraat Bank is carried out by the Audit Committee, which is under the Board of Directors.

INFORMATION SECURITY MANAGEMENT

Currently, information security management at Ziraat Bank is carried out by the Audit Committee, which is under the Board of Directors. In this context, the Board of Directors is ultimately responsible for ensuring information security at the Bank.

The Information Security Committee (BGK) was established to coordinate work on information security within the framework of the Banking Law, the Articles of Association and other relevant legislation provisions and the policies and strategies determined by the Board of Directors.

The duties and authorities of the Information Security Committee are determined by the Board of Directors. The Committee is responsible for establishing, approving and periodically updating information security policies, as well as determining duties and responsibilities related to information security. The implementation of the strategic decisions taken by the Information Security Committee rests with all stakeholders in the organization within the scope of their duties.

IT Risk is a key component of Ziraat Bank’s corporate risk and an integral part of its banking operations.

An integrated IT Risk Management structure has been established in line with the implemented information security strategies and policies. IT Risk is a key component of Ziraat Bank’s corporate risk and an integral part of its banking operations. Data obtained from the IT Risk Management process outputs is integrated into the Bank’s holistic risk management framework.

Accordingly, Ziraat Bank attaches special importance to work related to operational risks that may occur in order to ensure business continuity and data integrity, and manages, defines and measures operational risks related to information technologies in an integrated structure with Ziraat Technology, while performing monitoring, control and reporting activities.

The Risk Management Committee convenes at least once a year with the participation of business units which bear risk and the senior management in order to create a framework for IT Risk Management in line with the Bank’s strategies, to determine strategies and plans and to regularly review realizations. The Committee supports the necessary activities in order to provide effective IT Risk Management and to reduce or prevent risk and conducts high-level monitoring of the activities of the units in relation to IT Risk Management.

Within the scope of the determined policies and the established IT Risk Management framework, risks related to the safety of employees are pre-emptively determined before they occur and are approached with sensitivity. All employees within the Ziraat Finance Group have responsibilities related to information security which are defined in all situations of starting, leaving, and changing duties. With the systems automated with the Identity Management Application, access authorizations are determined and an Identity Management policy is created by taking into account the principle of least authority and separation of duties.

A comprehensive information security awareness program is carried out for all employees in the Ziraat Finance Group. In this context, newsletters are prepared regularly every month and internal exercises are held throughout the year in order to raise awareness of phishing attacks and how to avoid them, using the social engineering method. Depending on the results of the exercise, employee awareness is further enhanced with necessary training assignments. Face-to-face in-class information security training is organized, which is included in the orientation training employees undergo when they start working, and all personnel receive updated information security training assignments throughout the year.

All assets that are of value to the Bank and used for the processing, storage, transmission, protection and continuity of the generated information are considered information assets. In line with the Regulation on Banks’ Information Systems and Electronic Banking Services published in 2020, all Information Assets are classified and an Information Asset Inventory is created, and the confidentiality, integrity and accessibility values of the assets are determined. The identifying characteristics of each information asset, such as its owner, custodian and location are recorded and appropriate protection methods are applied. Rule sets for the use of information assets are established and procedures are carried out for their physical transfer and destruction.

Anti-malware, blocking and detection to ensure operational security along with server installation, version migration and other important changes go through the approval process. The development, test and production environments are designed to be separate from each other.

A Cyber Security Center has been put in place at the Ziraat Finance Group. The Center examines the Bank’s systems and alarm mechanisms, scans for deficiencies and vulnerabilities, gathers intelligence against cyber threats and can intervene seven days a week, without interruption.

Network and client security products and devices (DDOS, IPS, EDR/EPP systems, NAC and WAF systems, Firewall, E-mail Security Products), DLP systems and Web/DNS security systems to prevent data leaks, all security logs monitoring and alarming SIEM systems, software code review systems, penetration test systems and vulnerability management systems are operating actively without interruption to ensure the security of the applications used. The traffic density of network devices is constantly monitored, and access rule sets are created according to user profiles by using Proxy for internet access.

Within the scope of compliance with national/international laws, regulations, regulatory board decisions and instructions affecting information security, a legal infrastructure has been established pertaining to each risk identified on information assets, in accordance with international standards. A procedure for intellectual property rights is currently being drawn up.

Ziraat Bank takes all necessary technical and administrative measures to securely store personal data, prevent unlawful processing and to destroy such data in accordance with the law. In line with the obligation of disclosure, which is a mandatory provision in the Personal Data Protection Implementation Principles and Procedures legislation, the Bank places attention on obtaining the necessary explicit consents, while providing necessary information in all channels. In addition, both in-class and distance learning is provided in order to raise awareness of the protection of personal data, and all personnel are required to complete the training.

Within the scope of the BRSA’s Circular on Penetration Tests Regarding Information Systems, independent companies which do not have executive duties are subjected to a penetration test at least once a year within the body of Ziraat Finance Group. These tests are aimed at detecting and correcting any security vulnerabilities in the Bank’s information systems that may leave the Bank vulnerable to unauthorized access or access to sensitive information before such weaknesses are exploited. The findings of the penetration test are presented to the Board of Directors and necessary measures are taken.

Network Security Control Systems are established throughout the Ziraat Finance Group to protect against threats which may arise from both its own corporate network and external networks. Within the framework of the policies regarding the use of network resources, rules are determined regarding the use of USBs, and the sharing of files outside the Bank, database and application access and for non-standard application uploading, with rules also determined for employees of third-party companies who will work at the Bank locations, consultants, employees of independent auditors and external auditors. Standards for computers to be provided to individuals and their access are also determined. The use of network resources is monitored with Data Leakage Prevention (DLP) Systems, preventing data leaks and creating trace records of transactions.

Ziraat Bank implements policies which meet international standards for network access in the field of information security.

Ziraat Bank implements policies which meet international standards for network access in the field of information security. Users are only given access to the network and network services for which they are authorized and are removed when the business need ends. Access authorizations are checked regularly. Private channels are used to share confidential or sensitive information by creating a password policy. Additional restrictions are applied in data processing by using techniques such as masking, blocking, tracking, encryption.

Outsourcing of services such as information systems, which have the potential to compromise the confidentiality, integrity and accessibility of banking data and the continuity of banking services and which have access to or share banking data are defined as external services. Ziraat Bank includes information security requirements in the specifications and contracts for service procurement in order to minimize supplier risks. Supplier companies are evaluated, confidentiality agreements are signed with companies and the obligations in the terms of the agreements are checked periodically.

Ziraat Bank has established a Cyber Incidents Response Team (SOME) in order to respond quickly, effectively and regularly to cyber incidents within the scope of information security breaches and management. Information security events and vulnerabilities related to information systems at the Bank are monitored and recorded through central monitoring mechanisms. Information security incidents action planning is managed in accordance with the rules determined within the framework of the Information Security Incident Management Plan with the aim of reducing security risks. This process involves the assigning of responsibilities for security incidents, taking measures in the fastest way and informing the units related to the incident, depending on the criticality and type of incident.

The information security checks and practices at Ziraat Bank, as well as the external audit activities determined by legal regulations and separate directorates within the framework of internal control and inspection of information systems in the Internal Systems Group Directorate, which operates under the Board of Directors, continues to be reviewed periodically. In this context, information security checks are carried out on a regular basis with reported findings shared with the business units, actions are taken and are followed up until their resolution.

Ziraat Bank’s share in the country’s foreign trade volume increased to 16.5% in 2022 as a result of the work carried out within the scope of its “Customer-Focused Foreign Trade Operation” strategy.

INTERNATIONAL BANKING

A ten-fold expansion in foreign trade volume in the last 10 years
Ziraat Bank’s correspondent banking network, which has been operating successfully for many years in order to meet the needs of its customers for foreign trade transactions and international payments, covers more than 1,700 correspondent banks in more than 140 countries.

With its specialized staff, Ziraat Bank strives to achieve sustainable customer satisfaction in the field of foreign trade and carries out activities aimed at facilitating access to a wide variety of financial products such as suitable foreign financing and discounted letters of credit, bills of sale/policy discounts in line with the needs of customers. Working in close cooperation with correspondent banks and export credit institutions such as Hermes, Serv, and Sace in order to meet its customers’ needs for foreign trade financing, the Bank provides its customers with sustainable medium and long-term country loans.
Ziraat Bank, which is one of the leading banks in the field of foreign trade, became one of the most popular banks among customers in foreign trade and foreign exchange transfer transactions in 2022. The Bank, which has achieved a ten-fold expansion in its foreign trade volume over the last ten years on the back of its successful activities, reached a foreign trade volume of USD 101.9 billion by the end of 2022.

Ziraat Bank’s share in the country’s foreign trade volume increased from 14.1% in 2021 to 16.5% in 2022 as a result of the work carried out within the scope of its “Customer-Focused Foreign Trade Operation” strategy.

In 2022, the Bank provided support focused on contracting firms and exporters, issuing 983 letters of guarantee, equivalent to approximately USD 2.8 billion, and 244 letters of guarantee pertaining to the counter-guarantees of other banks, corresponding to approximately USD 244 million.
Ziraat Bank supported the exports of 1,669 companies by extending 2,702 Central Bank rediscount credits in 2022, equivalent to approximately USD 1.2 billion, within the framework of special limits defined by the Central Bank of the Republic of Turkey. As of the end of 2022, the Bank’s Central Bank Rediscount Credit balance stood at approximately USD 782 million.

Increase in use of non-branch channels for foreign trade transactions
Ziraat Bank is able to offer its customers fast and more economical alternative solutions by drawing on the benefit of its extensive correspondent network in domestic and international foreign currency (FX) transfers, increasing the number and volume of FX transfers it mediates in every year.

As a result of Ziraat Bank’s efforts in line with its digitalization vision, 20% of FX transfers in 2022 were carried out through the internet and mobile banking channels.

With the aim of reducing the transaction density in its branches, the Bank also brought the foreign currency transfer transactions, cash and cash import transfers, and tracking of transfers with SWIFT GPI, which had been served through the internet channel, to the mobile banking channel.
Customers are now able to select the expense (OUR, SHA, BEN) for foreign currency transfers carried out through corporate internet banking and mobile banking.

In 2022, the “Foreign Trade Transactions” menu in internet banking was offered to customers, and customers started to be served in this channel, which offered foreign trade files querying and monitoring functions.

The new Foreign Trade Transactions Regulation, under which all kinds of information can be accessed on foreign trade transactions, has been published on the website.

Ziraat Bank was one of the first banks in the sector to offer the process of creating and monitoring Export Value Acceptance Certificates (IBKB) in its internet branch. Within the scope of the application which started to be offered in the last six months of 2022, the number of IBKBs organized through the internet branch constituted 13% of the total IBKBs.

The completion time of each IBKB transaction, which is arranged through the Internet branch, was measured as 91 minutes. This therefore achieved 51 person/year in labor savings and TL 19.3 million/year in cost savings. In addition, approximately 26,000 sheets of paper were saved in the 6 months between the implementation of the application and the end of the year.
Ziraat Bank’s operational success in FX transfers in 2021 through its correspondent bank, Citibank N.A., and its error-free rate of 99.8% were deemed worthy of the Straight Through Processing Excellence Award in 2022.

Ziraat Bank obtained the largest sustainability-themed syndicated loan ever provided by a bank in Turkey in 2022.

The largest sustainability themed syndication loan provided by a bank in a single tranche
Undertaking an important mission in terms of Turkey’s sustainable development within the framework of its responsible banking approach, Ziraat Bank obtained the largest sustainability-themed syndicated loan ever provided by a bank in Turkey in 2022.

With a total of USD 1.24 billion, consisting of USD 352.5 million and EUR 814 million, with a maturity of 367 days, the loan was the tenth borrowing transaction that the Bank has obtained from international markets through syndication. This loan, which had the participation of 45 banks from 21 countries, was Ziraat Bank’s first sustainability-themed syndicated loan.

The key performance indicators of sustainability (ESG KPIs) for this resource, which reflects Ziraat Bank’s sustainable growth and responsible banking principles, included contributing to gender equality and equality of opportunity in production through agricultural loans to be provided to women and young farmers at favourable conditions, employee training to increase in-bank sustainability awareness, and ensuring that the branches and ATMs would provide greater ease of access banking services for disabled citizens.

The syndication loan gained recognition as Ziraat Bank was ranked first in the “Financial Institutions Deal of the Year” category and second in the “FI Funding Team of the Year” category at the “Bonds, Loans & Sukuk Turkey Awards”, where it was received two major awards.

Reinforcing its strong funding structure with new collaborations in 2022, Ziraat Bank continued to provide alternative sources such as bilateral loans and post-financing from correspondent banks, in addition to syndication loans. As of the end of 2022, the Bank was managing a balance of USD 1.5 billion provided through these resources.

Increasing synergies with Ziraat Finance Group
Ziraat Bank maintains its work in line with its international banking strategy and vision with the aim of increasing the effectiveness of its foreign partnerships and branches in the countries where they operate, and contributing to the development of commercial and economic relations between Turkey and these countries.

The Ziraat Finance Group’s share in global foreign trade volume has grown as a result of these activities. The development of foreign trade between countries where the Ziraat Finance Group has a presence is a key priority for the Bank at all times.

Continuous improvement in correspondent bank relations
Ziraat Bank’s wide correspondent bank network, which commands a very high level of recognition and prestige in the international financial markets, is constantly changing and developing in line with global trends, customer demands and the conjuncture in the world economy.

The creditworthiness of domestic and foreign correspondent banks is updated periodically with analysis carried out, with limits allocated in favor of these institutions using the internal rating model.

Ziraat Bank completed the first sustainability bond issuance from Turkey 2021, with 100% of the capital provided by a publicly owned financial institution.

Strategies focused on the development of capital markets
Ziraat Bank aims to diversify its sources of funding and provide cost-effective, long-term funding. In line with this goal, the Bank’s USD 7 billion GMTN (Global Medium-Term Notes) program was updated on 5 May 2021 for the purpose of borrowing from international capital markets. In addition, the Bank continued to obtain foreign resources through private placement issuances.

Ziraat Bank completed the first sustainability bond issuance from Turkey in February 2021, with 100% of the capital provided by a publicly owned financial institution amounting to USD 600 million with a maturity of 5 years. The resource obtained from this borrowing, which was a successful application of sustainable finance, was directed to environmental and social themed loans specified in the “Green, Social, Sustainable Finance Framework” where the loan areas which can be issued are determined.

The Allocation Report, which sets out how this resource has been used, and the Impact Report, which sets out the impact measurement of the loans and projects financed by the resource, were prepared within one year of the issuance as specified in the framework document. The reports were posted on the Bank’s website.

Ongoing success as a market maker in government debt securities
In the government debt securities market determined by the Ministry of Treasury and Finance, Ziraat Bank successfully maintained its position as a market maker in 2022 as well, and played an active role in the secondary markets.

Ziraat Bank meticulously evaluates potential business opportunities with the aim of being the strongest and most effective bank in all regions in which it operates.

INTERNATIONAL BRANCH BANKING

Ziraat Bank carries out detailed analyzes and studies to evaluate the environment and opportunities that will arise as a result of global changes and developments.

Ziraat Bank has developed its operations in the field of International Branch Banking in line with its international banking strategy and vision. The Bank undertakes successful International Branch Banking operations with the following main objectives;

• To provide fast, modern and high-tech and high-quality services to all stakeholders in all regions where the Bank operates, as well as Turkish entrepreneurs and companies,
• To secure a higher share in the financing of foreign trade between Turkey and other countries where it operates and to play a strong role in financing international trade,
• To ensure the sustainable profitability of international branches with a healthy and efficient balance sheet structure,
• To be the global financial contact point for customers by enabling foreign buyers and sellers for customers in Turkey to become customers at the service points abroad,
• To create effective synergies within the framework of the “Ziraat Finance Group” approach.

“Ziraat Is Always with You Wherever You Are in the World”
Ziraat Bank meticulously evaluates potential business opportunities with the aim of being the strongest and most effective bank in all regions in which it operates under the banner of “Ziraat Stands with You Wherever You Are in the World”. Some of the developments during 2022 in the international banking business line, which the Bank has structured with an integrated perspective in the regions it serves, are summarized below.

In its London Branch, in order to adapt to the dynamics of the London financial center, the Bank reshaped its products and services span in a way which would increase its effectiveness, particularly in the fields of structured finance and foreign trade finance. Serving as an important touch point in accessing international financial markets, the London Branch maintained its pioneering and advantageous position in terms of money market and treasury transactions in 2022.

In Greece, providing services through three branches in Athens, Komotini (Gümülcine) and Xhanti (İskeçe), Ziraat Bank plays an active role in developing trade between the two countries. In 2022 the Bank carried out highly successful works with a focus on services such as corporate banking and foreign trade financing.

Ziraat Bank continues to provide services in the corporate and retail segments in Bulgaria as well as financial services and solutions to customers through non-branch channels such as ATM and internet banking.

The Bank operates in Bulgaria with five branches under the Bulgarian Directorate: Sofia, Plovdiv, Kardzhali, Varna, and Burgas opened in 2021.

In Kosovo, a wide range of products are provided in the corporate and retail segments with 4 branches operating in Pristina, Prizren, Peja and Ferizaj under the Bank’s Kosovo Directorate.

In the TRNC (Turkish Republic of Northern Cyprus), the Bank continues its activities with a focus on customers and the market, operating from eight branches. The Bank has diversified its product range and is continuously increasing its service quality. The TRNC branches offer their customers corporate and retail banking products to Turkish standards. The Bank has provided significant contributions to the economic development of the TRNC.

In Iraq, the Bank supports the development of economic and trading activities between Iraq and Turkey with its two branches in Baghdad and Erbil. The branches play an important role in fulfilling the contracting firms’ requirements for letters of guarantee, in addition to serving as the financial solution point for international companies, organizations and institutions and, in particular, for Turkish and Iraqi corporate customers operating in the country.

In Saudi Arabia, the Jeddah Branch opened its doors in 2011. The Bank continues to expand the branch’s product and service range with the aim of meeting the banking needs of Turkish and Saudi corporate customers operating in the country, and in particular the letter of guarantee needs of Turkish contracting companies. The Bank also aims to act as a broker in foreign trade between Turkey and Saudi Arabia and developing the trade between the two countries.

Ziraat Bank’s second address in the Gulf region, the Bahrain Branch, plays an active role in accessing international financial markets.

Sustainability and Responsible Banking

The Bank continued to increase the financial support for direct investments conducted by Turkish entrepreneurs operating in Bulgaria.

Playing an important role in financing Kosovo’s infrastructure investments, primarily transportation infrastructure and renewable energy resources, Ziraat Bank continued to support the development of Kosovo’s economy.

The TRNC Directorate offers corporate and retail banking products at Turkish standards to its customers with 8 branches spread across the country, and continues to contribute significantly to the economic development of the TRNC.

With the mission of being an important financial solution and contact point of the Ziraat Finance Group in Iraq, the Baghdad Branch has played an active role in ensuring our country’s access to international energy resources, with a high level of efficiency and speed manner under favorable conditions.

In Saudi Arabia, the foreign trade taking place between the two countries continued to be supported by non-cash loans in addition to cash loans. The Jeddah Branch is actively involved in the financing of foreign trade between our country’s importers and Saudi Arabia’s leading petrochemical companies.

With the Internet Banking and Mobile Banking channels, customers were provided with online access to the Bank’s financial products globally.

Digital Channels
With the increasing importance of digital channels, Ziraat Bank focused on internet and mobile banking investments in its international branches. With the Internet Banking and Mobile Banking channels, customers were provided with online access to the Bank’s financial products globally.

Ziraat Bank’s distinguished team with superior competencies forms the basis of customer satisfaction.

HUMAN RESOURCES PRACTICES

With an awareness that people are the main factor which make a difference in the competition, Ziraat Bank implements a modern human resources management system in line with the principles of transparency, participation, efficiency and compliance with banking ethics.

Ziraat Bank’s distinguished team with superior competencies forms the basis of customer satisfaction, an area which the Bank attaches great importance to.

Ziraat Bank aims to create a happy, productive, committed, successful and healthy workforce. Developing fair, transparent and integrated practices in line with global human resources trends in order to attract, train and retain the most valuable talent in line with this goal, the Bank acts with a management approach which constantly analyses employee needs, creates value and enables rapid adaptation to changing conditions.

Career management applications
Ziraat Bank is aware that its high-level human resources play a large part in its special and distinguished position in the banking sector, where international competition is intensive. With this awareness, the Bank implements a number of employee-oriented projects which aim to further develop the modern human resources management system it has adopted.

During 2022, Ziraat Bank continued its efforts to meet the needs of and motivate its human resources which, with their unique market knowledge and experience, offer the right value propositions to the Bank’s customers at the right time and through the right channel.

Serving its customers with a total of 24,484 employees as of the end of 2022, the Bank provided jobs for 685 people in 2022.

Employee profile
Serving its customers with a total of 24,484 employees as of the end of 2022, the Bank provided jobs for 685 people in 2022.

The average age of employees in the Bank stood at 38. Among the Bank’s employees, 85% had an associate, undergraduate, graduate or doctorate education. The average year of service is 13 years.

BREAKDOWN OF ZIRAAT BANK’S HUMAN RESOURCES BY LOCATION, AGE GROUP AND EDUCATIONAL BACKGROUND

Breakdown by Head Office, Regions and Branches

Unit	Number of People	%
Head Office	5,424	22.2
Regions	267	1.1
Branches	18,697	76.3
International	96	0.4
Total	24,484	100.0

Breakdown by Age

Age	Number of People	%
30	1,401	5.7
30-50	21,746	88.8
51 +	1,337	5.5
Total	24,484	100.0

Breakdown by Educational Background

Educational Background	Number of People	%
Post-Graduate	47	0.2
Graduate	2,267	9.3
Undergraduate	16,328	66.7
Associate	2,346	9.5
High School	3,443	14.1
Secondary School	53	0.2
Total	24,484	100.0

Recruitment
In 2022, Ziraat Finance Group opened its doors to young people seeking to progress in a career in banking. In order to meet Ziraat Bank’s need for Assistant Inspectors and Assistant Specialists, Unit Officers and the needs at its subsidiary, Ziraat Participation Bank for Assistant Specialists and Unit Officers, applicants were invited to attend an exam. Within the scope of “Candidate Satisfaction” pre-interview preparatory training including various training and tasks was provided in order to relieve the anxieties surrounding examinations among new graduates, with the selection and evaluation carried out afterwards for Unit Officers through a structured interview process.

There are a total of 34,190 employees within the Ziraat Finance Group, including domestic and foreign subsidiaries.

Career management
Ziraat Bank, which has a transparent career management approach in the field of human resources, trains its own management candidates among its staff. Accordingly, 1,710 existing employees who were succeeded in the written promotion exams conducted in 2022 were promoted to a higher position.
In addition, more than 100 employees who successfully completed the Management School were appointed to management positions in the branches and units.

There are a total of 34,190 employees within the Ziraat Finance Group, including domestic and foreign subsidiaries.

Ziraat Bank has taken firm steps towards becoming a global brand in the banking sector in all countries where it operates, offering attractive career progression, pay, training and development opportunities to all employees working under the Ziraat roof.

In addition to the companies operating in Turkey, efforts continue to expand Ziraat HR practices among the subsidiaries located abroad.

The Ziraat Finance Group pays attention to the satisfaction and happiness of its employees, its most precious resource, and the effective management of their experiences in this context. The Group strengthens its communication channels in order to support its employees not only in managing their career, financial situation or working environment, but also their expectations and concerns regarding life.

Ziraat Bank carried out presentations to introduce the Bank and the School of Banking to foreign students at Middle East Technical University, Hacettepe University, Ankara University, Gazi University and the Turkish-German University for the open recruitment of Assistant Specialists for international units. In this context, for the first time, the Assistant Specialist recruitment examination was held with the participation of foreign candidates during 2022.

Ziraat Bank participated in career fairs in the UK, Germany and Uzbekistan as part of the TalentforBIZ-2022 event organized by the Presidential Career Office, and promoted the Bank and the Banking School.

Written exams and interviews for promotions were completed under the coordination of the parent bank for employees of foreign subsidiaries and branches, and employees found eligible for promotion were assigned a higher title.

Certification programs were organized for foreign branch and subsidiary managers in coordination with the Talent Management Department, thus strengthening cooperation between the main bank and the foreign units.

Ziraat Bank continued its efforts to expand the “Satisfaction Barometer” survey, which it started in 2020, to foreign subsidiaries in 2022 as well. The survey offers the Bank a chance to gain feedback from employees on a daily basis, as well as to learn about any general causes of complaint, with the causes of employee-specific complaints determined through one-to-one interviews with the employees participating in the survey, and plans created to resolve any problems. In 2022, the option pool of the application was expanded and made available to foreign branches and subsidiaries.

Aiming to reward individual achievements aligned with the Bank’s corporate strategies, Ziraat Bank motivates employees towards increasing their corporate engagement.

Performance management
The personal achievements of employees are evaluated in the Individual Performance Management System and their rankings determined on the basis of objective and measurable criteria. The system, which mediates in the transfer of the Bank’s strategies to the field, has been designed in two basic dimensions: numerical-based and competence-based.

Indicators related to customer orientation, profitability, efficiency and risk management significantly affect the numerical performance score. The individual rankings, which are compiled by combining the numerical performance scores calculated with the measurements taken on the dimensions of targets, development and size, as well as the competency scores, form the basis of the performance bonus payments.

The individual performance bonuses, which are determined and paid on the basis of periodically conducted individual performance reviews, are intended to strengthen the Bank’s customer-focused business model, to promote an approach to work which is focused on marketing and effectiveness, to increase company loyalty by motivating personnel and to provide tangible benefits to those whose individual achievements are compatible with the Bank’s corporate objectives.

The current bonus budget determined by the Bank’s Board of Directors is paid out to recipients as an individual performance bonus at three-month intervals together with their monthly salaries in the months of February, May, August, and November and is based on objectively defined and numerically expressible specific criteria.

In this system, which has been set up to focus mainly on marketing in line with the Bank’s strategies and targets, bonuses are paid to reward those who contribute more to the realization of the Bank’s strategies and targets.

While calculating bonuses, different coefficients are used according to branch segment and scale, individual performance ranking and job position criteria. Sales group personnel bonuses are calculated in direct proportion to the individual performance points in each section.

Aiming to motivate employees towards increasing their corporate engagement and to reward individual achievements aligned with the Bank’s corporate strategies, Ziraat Bank included all other Head Office units within its performance management system in the second quarter of 2018, as well as the units subject to numeric performance measurement, taking into account the competence-based evaluation system.

On the other hand, within the framework of the fundamental Ziraat Finance Group concept, individual performance evaluation, competence evaluation and bonus system practices were carried on throughout the domestic subsidiaries.

Meanwhile, premium payments started to be offered to employees of subsidiaries operating in Azerbaijan, Georgia, Bosnia, Kazakhstan and Uzbekistan in 2022, as part of work to put performance management systems into operation in foreign subsidiaries.

Premium payments started to be offered to employees of foreign branches from the third quarter of 2022. The results in all subsidiaries and branches abroad will be followed closely in the coming period, and systematic improvements will be made.

Remuneration practices
The Remuneration Committee is responsible for overseeing and supervising Ziraat Bank’s remuneration practices on behalf of the Board of Directors. The Committee assesses the remuneration policy and practices within the framework of risk management to ensure that remuneration policies are aligned with the Bank’s ethical values and strategic goals, and shares its suggestions with the Board of Directors.

Within the context of the third term collective bargaining agreement signed between Ziraat Bank and Öz Finans-İş Trade Union to be effective from 1 January 2021 through 31 December 2023, union members were granted certain personnel rights including leave in addition to receiving additional monthly payments. In the Bank, which has a unionization rate of around 90%, adjustments to pay for 2022 were carried out in accordance with the Collective Labor Agreement.

Focusing on reducing overtime and taking care to maintain the balance between work and family life for employees, in 2022 Ziraat Bank continued to ensure the effective use of the system which was put into use to monitor overtime hours.

Health benefits and practices
In addition to the health services provided by the Social Security Institution, Ziraat Bank provides benefits regarding health insurance to its employees and family members subject to the provisions of private law;

• Within the framework of the authorizations received from the Bank’s Board of Directors, it provides treatment assistance for the members of the Health Aid Fund (Fund) within the framework of the authorization received from the Board of Directors of the Fund.
• The Bank also executes special agreements with healthcare service providers, under which its employees can obtain healthcare services, and announces these agreements to all employees.
• The Bank provided a gross amount of 3,750 TL for education to 267 children every month in order to increase its contribution to the education, care and development of the personnel’s children which are recorded as having special needs as set out by the Report for children (SNRC) and the Report by the Guidance and Research Center, which operates under the Ministry of Education.
• Within the scope of Preventive Health Services, Mobile Health Screenings were carried out with a radiology doctor, ophthalmologist and health team for personnel working in provinces which lack Private Health Providers. The examinations performed within the scope of the screening were examined by the company doctors and the Bank’s workplace doctor, with the results of the examinations sent to personnel by post. Personnel with abnormal results were given necessary recommendations, and training programs were organized.

Ziraat Bank ensures that its employees who have served the Bank for a long time leave more satisfied when they retire.

Social security applications
In 2022, Ziraat Bank continued to implement the measures it had in place to protect the health of its employees during the pandemic. The Bank provided employees in risk groups due to chronic diseases and eligible pregnant employees with the opportunity to work from home.

Ziraat Bank launched a new retirement project in 2022 in order to ensure that its employees who had served in the Bank for a long period would leave with a higher level of satisfaction when they retired, and to support them as they started their retirement.

Projections for 2023
The advance in technological developments, digitalization of work processes and the new generation’s changing expectations of working life require new designs for the employee experience, especially in the recruitment, career management and talent management processes.

In this context, Ziraat Bank continues its activities to transform processes into an agile structure which is able to respond to changing needs more quickly, to create high employee satisfaction, to design processes to enhance the employee experience, to expand digitalization and to use data analytics. The Bank’s priority projects in 2023 will be aimed at integrating employee experience and smart technologies into HR processes and implementing flexible working models.

Talent management practices
Ziraat Bank aims to maximize the motivation, knowledge and skill level of its employees. To this end, within the framework of its strategy of “Investing in Human Resources and being a Learning Organization”, the Bank offers all its employees systematic training opportunities focused on career and development.

The Bank’s training and development activities have been shaped on the basis of implementing programs that address different individual needs, guide career development and complement each other with educational activities and competencies over the years.

Training activities in 2022
Professional and personal development trainings offered by Ziraat Bank are diversified by considering different user needs and are conveyed through many channels. Ziraat Bank provided an average of 18.8 hours of classroom training and 30.1 hours of online training per person in 2022.

The training activities which Ziraat Bank offered its employees in 2022 is provided below:

• The “Branch Manager Development Journey” program organized for Bank’s managers, coaching and mentoring training and practices, the “On-the-Job Trainer Training” program, the “Development Journey of the Manager who switched to the Field” program,
• The “Educator Training” program in order to expand the Bank’s internal trainer pool,
• “First Step Training” to help new personnel joining Ziraat Bank get to know the Bank, help them adapt to the corporate culture and acquire the necessary basic knowledge and skills,
• “Executive Candidate Program Training” for the preparation of supervisors working in authorized positions for management roles,
• “Career Training” is provided in accordance with the position of employees and aims to provide the basic knowledge and skills necessary for employees to fulfil their duties and responsibilities,
• “Competence Training” tailored to the individual, based on the data in the Individual Performance and Competence Evaluation System.
• “Development Training”, to meet training needs in line with the Bank’s goals and strategies or to transfer new products, services or information on legislation,
• “Legal Obligation Training” connected to legislation,
• “Licensing and Certificate Training” to prepare participants for national and international licenses and certification exams.

Within the scope of Ziraat Bank’s “Data Science with Artificial Intelligence Certification Program”, a total of 127 people completed their training and were awarded certificates. In addition, the FRM-Risk Management Certificate Program, which started in December 2022, continues with 12 participants.

A total of 13 “Certificate Programs” were introduced and made available to employees to help them determine their own career paths within the Bank and to prepare them for the units they will serve in the future.

Graduate programs have been offered in cooperation with Ankara University, one of our country’s well-established and prestigious organizations, in order to improve the academic aspect of the educational programs and initiate the cooperation that will enable employees to obtain a graduate diploma at the same time.

Ziraat Bank follow the latest technological trends in the world in the field of education, and rapidly puts them into use.

State-of-the-art applications in education
Ziraat Bank follow the latest technological trends in the world in the field of education, and rapidly puts them into use.

The online training programs, which gained even greater importance during the three-year pandemic period, provided the opportunity to train more personnel in a short time at a lower cost continued throughout 2022, being accessible to employees whenever and wherever they wish,

The E-learning Catalogue, which contains a wide range of content including e-learning material, videos, audio files and documents, has been expanded with new content focused on professional development, with all units contributing to the catalogue. In addition, the Digital Catalogue, which contains over 4,000 items of content, was made available to employees.

The “Ziraatli-comment” forum, which enables employees to share their knowledge and experience with other employees, was used by 18,278 employees and 663 articles were added to the forum in 2022.

Through the mobile application, Ziraat Bank prepared journeys which are tailored to the position of each employee. This application allows information to be collected instantly from the field, in addition to ensuring permanence through micro-learning and reinforcement. The application, which is designed to offer the practicality of mobile learning by accompanying employees in the fast flow of life, elements such as questionnaire and exam questions, reminders, greetings and congratulatory messages can be performed daily within the framework of a planned calendar, in addition to micro-learning elements.

Educational activities which consider sustainability
Ziraat Bank carried out “Sustainability E-Training” in order to create and instil sustainability awareness among its employees, with 83.9% of the Bank’s employees completing the training program.

In 2022, 75% of Ziraat Bank employees participated in training on the “Prevention of Laundering Proceeds of Crime and Financing of Terrorism”, which is one of the training programs legally required in accordance with legislation.

There are training programs designed specifically for the customers and children on Ziraat Bank’s website. The training program, which is offered under the name of “Our E-Training Programs Specific to the Little Ones”, aims to raise awareness of the importance of saving among children and to introduce them to basic financial concepts. In this fun-packed program, children learn about the relationship between money and the bank, the functioning of banks, internet and telephone banking, loans and credit cards, the efficient use of all resources from money to electricity and water with the themes of “Money-Bank Island, Savings Island, Loan and Credit Card Island, Budget Island”.

Within the scope of customer trainings on the website, there are trainings on secure credit card use and agricultural insurance.

A new program has been put into practice in order to contribute to the development of university students who carry out internships at Ziraat Bank and to help them use the time they spend in their internship efficiently. With its “Customer Experience” approach, the Bank has planned every day down to the smallest detail, from the welcoming step on the first day to the farewell. More than 100 videos, items of e-learning and reading materials on many different topics are available on the First Step Banking School platform, which was opened exclusively for intern students.

The training programs offered over the mobile application included topics such as basic banking, loan information from A to Z, digital literacy, correspondence techniques, corporate professionalism, resilience, information security and zero waste. The Bank also organized small competitions to increase participation and encourage learning. The Bank monitored every step of the program on a daily basis through the mobile application.

Ziraat Bank carries out effective activities in order to provide a healthy and safe working environment within the scope of the Occupational Health and Safety Management System, which is based on continuous improvement.

Safe workplaces and a sustainable occupational health and safety culture
Ziraat Bank complies with the Occupational Health and Safety Law, which regulates the duties, authorities, responsibilities, rights and obligations of employers and employees in order to improve the existing health and safety conditions in the workplaces and to ensure occupational health and safety.

Ziraat Bank carries out effective activities in order to provide a healthy and safe working environment within the scope of the Occupational Health and Safety Management System, which is based on continuous improvement.

In this vein, the Bank organizes training activities to analyse and minimize health and safety risks that exist in or outside the working environment, and to create and develop Occupational Health and Safety awareness.

Within the scope of measures to prevent occupational accidents and occupational illness, services are received from the Joint Health and Safety units, which are established to provide occupational health and safety services and have the necessary equipment and personnel.

Ziraat Bank, which has integrated the importance it attaches to art and artists with the motto “For Art in Art” since its establishment, fulfils its responsibilities to society through the projects it supports.

Maria Kılıçlıoğlu Baraz Sculpture Exhibition 5 August 2022 - 31 October 2022	Mevlüt Akyıldız “40 AMBAR” Painting and Sculpture Exhibition 11 May - 1 August 2022	Teoman Südor "EGE'NİN DÜŞLERİ" Painting Exhibition 4 February - 30 April 2022

SOCIAL RESPONSIBILITY AND PROMOTIONAL WORKS

Ziraat Bank focused its social responsibility activities in the fields of culture, the arts, education and sports, with the spirit of social sharing forming the basis of its activities. Implementing many long-term projects with the aim of developing individuals and society and creating social benefit in these areas, the Bank takes its social responsibility mission one step further every year.

Ziraat Bank strives to complete the transfer of our national values to future generations, especially with its work that contributes to the cultural accumulation of the society.

Activities in the area of Culture and the Arts
Ziraat Bank, which has integrated the importance it attaches to art and artists with the motto “For Art in Art” since its establishment, fulfils its responsibilities to society through the projects it supports, as well as its museums, cinemas and art galleries.

The Bank’s Ankara Kuğulu and Çukurambar Art Galleries and Istanbul Tünel Art Gallery have been serving art lovers for many years.

The Ankara Kuğulu Art Gallery opened its doors for the new season on 10 October 2022 and hosted three exhibitions in 2022. In the Ankara Çukurambar Art Gallery, the four exhibitions in 2022 attracted more than 4,000 visitors.

The Istanbul Tünel Art Gallery, which is still under renovation, is planned to open its doors to visitors following its revamp in the 2023 season.

The State Theatres Ziraat Stage, which was brought to life with the cooperation of Ziraat Bank and the General Directorate of State Theatres, continued to serve lovers of the theatre in 2022.

The Ziraat Bank Head Quarters Building, located in Ankara’s Ulus district, was built in 1929 with the design of Italian Architect Giulio Mongeri. The Ziraat Bank Museum is located in the Hall of Honor on the ground floor of the building, which is one of the structures of the First National Architecture Period of the Republic of Turkey. The museum was opened in 1981 with the aim of taking Ziraat Bank’s long-standing knowledge and experience to the future.

The Ziraat Bank Museum exhibits the commercial, economic, political, cultural, artistic and educational change which has taken place in the Turkish banking system since its beginnings to the present, and its development from past to present. The museum showcases many antique objects, which contain these features, used in the banking system in a historical atmosphere.

The Museum, opened its doors again on 18 May 2022 and had hosted 7,500 visitors as of the end of the year. It will be possible to visit the museum and experience the museum step by step from computers and mobile phones.

The Ziraat Bank Museum was expanded with the inclusion of a basement level in addition to the ground floor, following restoration work that started in the historical building in 2017. The Museum, which was temporarily closed to visitors due to the pandemic in March 2020, opened its doors again on 18 May 2022 and had hosted 7,500 visitors as of the end of the year.

In addition to physical visits, Ziraat Bank Museum also offers a virtual tour, which is prepared by transferring all sections and details to digital media with three-dimensional imaging technology and accessed via the Bank’s website. It will be possible to visit the museum and experience the museum step by step from computers and mobile phones.

The virtual tour includes information and visuals regarding the objects and ephemera (historical documents/documents) exhibited in the museum. In addition, thanks to the application prepared using special techniques, works belonging to the Ziraat Bank Art Collection can also be examined in ultra-high resolution, zoomed down to the finest detail, on a virtual tour.

Ziraat Bank boasts one of Turkey’s leading collections of sculptures and paintings. The Bank brings works of art in its collection to the public with its collection and comprehensive exhibitions which it organizes. With more than 2,500 works, the Ziraat Bank Painting Collection continues to expand with the works of art purchased from artists exhibited in the Ziraat Bank galleries.

Ziraat Bank will maintain its support for art and artists with the “Ziraat Bank Art Museum” to be opened in its historical building in Alsancak, İzmir. Ziraat Bank started extensive restoration and restitution works to transform the historical İzmir Branch building into a museum in 2018. The Art Museum is planned to be opened to art lovers in April 2023.

Within the scope of the social responsibility project “Children on Vacation, Schools in Renovation”, efforts to improve schools in priority areas for development continued in 2022.

Social responsibility projects
Ziraat Bank, which has been providing uninterrupted support in the cultural and artistic fields for 159 years, contributed to the health, education, service and sports activities in 2022 in line with the requirements of its understanding of social responsibility.

The Ziraat Bank Library at Istanbul Medeniyet University, which is the largest university library in our country, was completed with the support of Ziraat Bank and opened in a special event on 12 August 2022 with the participation of our President, Mr. Recep Tayyip Erdoğan.

Within the scope of the social responsibility project “Children on Vacation, Schools in Renovation”, efforts to improve schools in priority areas for development continued in 2022. In line with the requirements of the governorships, provincial and district national education directorates and NGOs, tools and equipment, education sets, classrooms, school renovation (such as sheathing, roof maintenance and repair, and paint) were provided for schools in different regions of our country, especially in the Eastern Anatolia, Southeastern Anatolia and Black Sea regions. Ziraat Bank carries out the project “Children on Vacation, Schools in Renovation” to meet their needs.

TalentforBIZ events are held by the Human Resources Directorate to raise awareness by bringing institutions and organizations together with the aim of offering career opportunities to young people. Ziraat Bank participated in these events held in London, Cologne in 2022 and in Tashkent on 17 September 2022.

In addition, the Bank supported State Incentives Promotion Days activities held in Gaziantep, Konya, Antalya, Adana, Kayseri, Malatya, Samsun, Diyarbakır, Van, İzmir, İstanbul, Eskişehir and Ankara in 2022.

Ziraat Bank continued to carry out advertising and communication activities during 2022.

Advertising and Communication Activities
The main advertising and communication activities carried out by Ziraat Bank in 2022 are listed below:

• The visual on the “Deed Trusted Account” application, which enables the transfer of property rights and cash as set out in the transfer price to change hands simultaneously during real estate purchase and sale transactions, was shared on social media accounts.
• The commercials and visual adaptations promoting the “Foreign Currency-Protected TL Time Deposit Account” product were announced to the public on national television channels and through social media accounts.
• Advertisements and visual adaptations of the “YUVAM Account” product, where our citizens living abroad may safely place their savings in Turkish Lira, were published on their social media accounts.
• Images depicting the “Quarter Gold Coin Deposit Account” product, which aims to bring the physical gold held by customers into the economy, were shared on social media accounts.
• The visual regarding the “KGF Covered Support Packages”, which aims to provide support with investment, exports and operating expenses, was published on social media accounts.
• The commercial, “Modern Pressure Irrigation Systems Loan”, specially prepared to mark World Water Day, was shared on social media accounts.
• Commercials prepared specifically to mark International Women’s Day on 8 March and the Çanakkale Victory on 18 March were shared on social media accounts.
• Images prepared for Medicine Day on 14 March and World Down’s Syndrome Awareness Day on 21 March were shared on social media accounts.
• A commercial promoting Bankkart’s Ramadan special campaign was shot and broadcast on national TV channels and social media accounts. A radio spot was also prepared for the same campaign and shared on national radio stations.
• In order to emphasize Ziraat Bank’s unwavering support for our country’s farmers to celebrate World Farmers Day on 14 May, while shooting for the “Yaşa Çiftçi” commercial has been completed. The commercial was shown at the Ziraat Bank Agricultural Ecosystem Meeting, held on 13 May with the participation of the Minister of Treasury and Finance, Nureddin Nebati. After the launch, the commercial was broadcast on national TV channels and social media accounts, attracting wide acclaim from the public.
• Online commercials prepared specifically to mark National Sovereignty and Children’s Day on 23 April and the day to mark the commemoration of Atatürk, Youth and Sports Day on 19 May were shared with the public through social media accounts.
• The process of shooting three commercials for the promotions of the new agricultural loan products, “Young Farmer Loan”, “Woman Farmer Loan” and “Solar Irrigation Loan” was completed in May 2022. Advertisements and radio spots depicting these loan products in an entertaining way were broadcast on national TV channels, radio stations and social media accounts. In addition, the Minister of Treasury and Finance, Nureddin Nebati, shared the commercials on his Twitter account. The commercials all gained a high level of appreciation from the public.
• Online commercials specially prepared for Mother’s Day and Father’s Day, the “Bankkart Mother’s Day Campaign” and the “Bankkart Father’s Day Campaign” for the Bankkart product, online commercials and radio spots were shared on social media accounts and national radio stations.
• An announcement of the “Bankkart Eid Al-Adha Campaign” was added to the advert, “Important Thinkers”, which entertainingly describes Bankkart’s card features, and the advert was broadcast on national TV channels and social media accounts. In addition, the radio spot prepared for the “Feast of Sacrifice Campaign” was broadcast on national radio stations.
• The promotional video for announcing the book-building process for the Income-Indexed Note (GES) issued by the Ministry of Treasury and Finance was shown on the Bank’s social media accounts and on national TV channels through sub-band screening.
• Online commercials prepared specifically for Democracy and National Unity Day on 15 July and Victory Day on 30 August were shared with the public on social media accounts.
• The internet commercial celebrating the new academic year for students was shown on social media accounts.
• Images prepared for the promotion of “Individual Energy Efficiency Loan”, “Green House Housing Loan”, “Green Vehicle Loan”, “GES/ROF SPP/LICENSED SPP Loans” and “Housing Heat Insulation Loan”, which support energy saving, were shared with the public on social media accounts. In addition, the online advertisement film promoting “GES/ROF SPP/LICENSED SPP Loans” was also shared on social media accounts.
• Promotional images of the “Subsidized Cold Storage Loan” product were shown on social media accounts.
• Images were prepared for the promotion of the “Fisherman Support Loan” product, which aims to finance operating expenses for fishermen, and shared with the public through social media accounts.
• Visual and radio spots for fuel and back-to-school campaigns were prepared and aired on national radio stations.
• The fourth of the commercials in the “Z-Mobile Generation” campaign, which started to be shown in 2021, reached their audience through national television channels and social media accounts.
• The “Bankkart Pay Later Campaign with Lira”, “Bankkart E-Trade Campaign”, “Bankkart Fuel Campaign” and “Bankkart New Year Campaign” radio spots were prepared and aired on national radio stations to promote the Ziraat Bank and Bankkart brands.
• The commercial titled “159th Year - A Museum”, under the banner of “Turkey’s past, present and future is here” was broadcast on national television channels and social media accounts, attracting wide acclaim from the public.

Other work

• Ziraatbank.com.tr is the Bank’s corporate website and was designed to be responsive and developed on the MS SharePoint 2016 infrastructure. The website provides easy access to Ziraat Bank’s services and functions. In 2022, new technological advances were integrated into the website and its functionality was improved.
• In accordance with the corporate identity principles of the Ziraat Finance Group, the websites of domestic and overseas subsidiaries were renewed in order to provide a common experience for the customers.
• Within the framework of Intellectual and Industrial Property Rights, all kinds of application, objection and registration transactions carried out by Ziraat Bank and the entire Ziraat Finance Group both domestically and abroad regarding trademarks, patents and registrations, as well as renewal procedures for registered trademarks, patents and design certificates were carried out.
• The HTML-based interactive magazine, 1iz (We Are One), was published on the Bank’s portal and the Ziraat Finance Group mobile application on a bimonthly basis, pursuing the goals of fostering a sense of belonging among Ziraat Finance Group employees, informing them of developments in the Finance Group and the Bank, ensuring the continuity of corporate culture, creating an institutional memory and for creating a communication platform between Ziraat Family members.
• In order to meet the demands and expectations of customers in the most appropriate way, to provide information about the Bank’s products and services, and to ensure the highest level of customer satisfaction, the Bank maintained its position as the most effective bank in the sector in social media channels. The Bank’s effectiveness in social media is growing day by day with 2.3 million likes and followers on its Facebook page, over 455,000 followers on Twitter, over 233,000 followers on Instagram and more than 84 million YouTube views, along with shares on other platforms.
• The Visual Identity Inspection work carried out in order to use the corporate identity in accordance with Ziraat Bank standards, to correctly perceive the Bank’s brand image in the eyes of customers, to integrate corporate identity standards into all relevant environments and to prevent erroneous applications was completed.

Sponsorships

• With the sponsorship of Ziraat Bank and the vigorous support of the Bank’s employees, the Volleyball Team, which maintained its success as the champion in the Efeler League for the last two seasons, won the Champions Cup and started the 2022-2023 season with a trophy. The Bank continues its sponsorship support for Ziraat Bank Sports Club, which represents our country in the CEV Champions League in the 2022/2023 season as well.
• In order to contribute to Turkish football, Ziraat Bank continues to support the Ziraat Turkey Cup in the 2022-2023 season, which it has supported for 13 years.
• Ziraat Bank attended the Economy and Climate Change Summit held at the Ankara Chamber of Commerce Congresium between 30-31 March 2022 in order to contribute to the country’s economy in the course of tackling climate change.
• With the contributions of Ankara Bilim University, the 4th Efficiency and Technology Fair was held at the Ankara ATO Congress between 18-21 May 2022. Many domestic and foreign companies took part in the fair with Ziraat Bank’s support.
• Ziraat Bank provided support to the Agricultural Insurance Association Congress held in Istanbul between 13-15 June 2022 with the participation of over 100 member insurance companies from 30 different countries over five continents.
• The 4th World Nomad Games Event, which aims to keep traditional sports alive and is followed with great interest and admiration both in our country and in the international arena, was held in İznik, Bursa between 29 September and 2 October 2022, hosted by the Turkish Traditional Sports Federation Directorate. Visitors showed great interest in the Ziraat Bank event tent, where the art of marbling is explained practically.
• Many public institutions and organizations participated in the Barrier-Free Life Fair and Awareness Summit held in the Istanbul Expo Center between 1-4 December 2022. The Bank’s stand attracted a great deal of acclaim in the event, which was also sponsored by Ziraat Bank.
• The 9th Türkiye Innovation Week was held at the Haliç Congress Center with the coordination of the Ministry of Commerce and the organization of the Turkish Exporters Assembly (TIM). Participating in the event that brought together the world of finance and focused on the themes of value-added production and technology enterprise, Ziraat Bank’s stand attracted considerable interest from visitors.

SOME INITIATIVES THAT ZIRAAT BANK IS A MEMBER OR SUPPORTS

THE BANKS ASSOCIATION OF TÜRKİYE (TBB)
www.tbb.org.tr/en/home

FOREIGN ECONOMIC RELATIONS BOARD (DEİK)
www.deik.org.tr

INTERNATIONAL CHAMBER OF COMMERCE TÜRKİYE NATIONAL COMMITTEE (ICC)
http://icc.tobb.org.tr/lndex.php

KREDİ KAYIT BÜROSU (KKB)
www.kkb.com.tr/en

TBB RISK CENTER
www.riskmerkezi.org/en/home

ECONOMIC RESEARCH FOUNDATION
www.iav.org.tr

BANKALARARASI KART MERKEZİ (BKM)
https://bkm.com.tr/en/

YATIRIMCI TAZMİN MERKEZİ
http://www.ytm.gov.tr/

TURKISH CAPITAL MARKETS ASSOCIATION
https://tspb.org.tr/en/

CALL CENTER ASSOCIATION
www.cagrimerkezleridernegi.org

BORSA İSTANBULTÜRKİYE
https://borsaistanbul.com/tr/