How Ipoteka bank OTP Group Became the Most Profitable Bank in the Country in Q1 2026

According to the results of the first quarter of 2026, Ipoteka bank OTP Group became the leader in net profit among banks in Uzbekistan. The bank accounted for more than 15% of the total profit of the country’s banking system, making its performance one of the most notable results in the market. This is especially significant considering that just a year earlier, during the same period, the bank had reported a loss.

At the end of the first quarter of 2026, net profit reached UZS 579.2 billion, equivalent to USD 47.7 million. Capital increased to UZS 9.37 trillion. Return on equity (ROE) amounted to 25.9%, while the capital adequacy ratio (CAR) reached 19.1%.

All financial indicators are presented in accordance with International Financial Reporting Standards (IFRS).

From the outside, such growth may appear to have happened in a very short period of time. However, for the team, it is the result of several years of consistent work and transformation that affected nearly all key processes within the bank.

The story behind these changes began long before the first strong financial results appeared. Here is how the bank evolved, what changed internally, and which decisions helped it enter a new stage of development.

Where It All Began

The transformation of Ipoteka bank started with the deal involving OTP Group. In December 2022, following two years of negotiations, OTP Bank and the Government of Uzbekistan signed an agreement for the acquisition of the bank. By June 2023, OTP Group had become the majority shareholder of Ipoteka bank, acquiring a 73.71% stake.

The transaction amounted to USD 324 million. For Uzbekistan, it was the first privatization of a bank of such scale involving an international strategic investor. The deal accounted for nearly one-third of all proceeds received from the sale of state assets in the country in 2022.

For OTP Group, Uzbekistan became its first market in Central Asia, while Ipoteka bank became the Group’s first European private bank. Together with the new shareholder, the bank gained international expertise, modern management approaches, and experience in large-scale banking transformation.

The changes did not happen overnight. Step by step, the bank began transforming with a clear goal in mind — to become faster, more efficient, and more convenient for customers.

What Changed Inside the Bank

Customers began noticing the changes quite quickly. Branches were renovated, service formats evolved, and more comfortable and modern spaces started to appear.

However, the most significant changes were happening inside the bank. Teams began rethinking processes that had remained unchanged for years. The focus shifted toward speed, operational efficiency, and the quality of customer service.

At the same time, the corporate culture was also evolving. The bank introduced a more open and collaborative approach to work, launched training programs to strengthen teamwork, increased employee engagement, and established clearer and more transparent goals across all business areas.

A major internal optimization process was carried out in parallel. After the back-office functions were centralized, administrative workload decreased by around 20%. Some employees moved into customer-facing roles, while IT support and resource planning processes became more efficient.

Special attention was also given to cash operations and expense management. Part of the operations was transferred to digital channels, the cash infrastructure was upgraded, and foreign exchange processes were consolidated. This helped make day-to-day operations faster and more convenient.

How the Bank Improved Its Financial Performance

Over time, these changes began to reflect in the bank’s financial results.

According to the results of the first quarter of 2026, Ipoteka bank OTP Group recorded a net profit of UZS 846.4 billion. A year earlier, during the same period, the bank had reported a loss of UZS 30.7 billion.

One of the key factors behind this improvement was the higher quality of the loan portfolio. In April 2025, the share of non-performing loans stood at 10.2%. One year later, the figure had decreased to 2.6%, which is below the average level of 3.2% across Uzbekistan’s banking sector.

Aziz Yuldashev, Head of the Banking and Social Risk Management Directorate at Ipoteka bank OTP Group, explains that over the past few years the bank has significantly revised its approach to borrower assessment and risk management.

The updated system became more accurate in evaluating clients’ financial stability and their ability to manage debt obligations. This allowed the bank to maintain a more balanced lending approach while expanding its work with reliable customers.

Special attention was also given to problem debt management. The team worked closely with clients, restructured part of the debt portfolio, and strengthened collection processes. As a result, the level of non-performing loans was significantly reduced.

For the bank, this result is particularly important. The decrease in problem loans made it possible to reduce reserve volumes and strengthen overall financial performance.

Customer Comes First

Alongside its financial performance, the bank continues to focus on the quality of customer experience. The Net Promoter Score (NPS), which reflects customers’ willingness to recommend the bank to others, currently stands at around 59,2%.

One of the tools used to assess service quality has been the implementation of Mystery Shopping and Mystery Calling programs. These initiatives help evaluate the customer experience from the client’s perspective, measure response speed and communication quality, and identify areas for further improvement.

By the end of the first quarter, the Mystery Shopping score reached 89%, reflecting the level of service and the quality of customer interactions across the bank’s branches.

The transformation also affected the contact center. According to Mystery Calling results, the average waiting time for a response in the fourth quarter of 2025 decreased to 24 seconds. In the second quarter, the average waiting time had been around four minutes. As a result, waiting time was reduced by approximately 90%.

The bank also upgraded its contact center platform by implementing the Genesys system. This improved the processing of incoming requests, enhanced outbound communication management, and expanded analytical capabilities for monitoring service quality.

At the next stages of the project, the bank plans to integrate social media and chat channels, improve interaction with external customer acquisition channels, and further expand integration with internal banking systems.

Together, these indicators help demonstrate how the transformation is reflected in the customer experience — from service quality and response speed to the overall level of customer interaction in the bank’s daily operations.

Growth Backed by Numbers

The bank’s financial performance is driven not only by improvements in portfolio quality. Key operational indicators have also been growing steadily.

• Over the year, interest income increased by nearly 16%, reaching UZS 3.1 trillion. The loan portfolio expanded to UZS 35.6 trillion.

• Net interest profit exceeded UZS 1 trillion, while non-interest income reached UZS 1.36 trillion.

• Investment volume also grew significantly, increasing from UZS 4.2 trillion to UZS 10.4 trillion over the year.

Sandro Rtveladze, Chairman of the Management Board of Ipoteka bank OTP Group, notes that the first stage of the bank’s transformation has already been completed. The primary focus during this phase was on internal processes, operational efficiency, and building a sustainable operating model.

The next stage will focus on developing customer solutions and launching new products.

"The bank has gone through a major phase of change, and today we see how this work is reflected in the results. After a major transformation, Ipoteka bank OTP Group has entered a phase of sustainable and profitable growth. For us, this is the beginning of a new chapter of growth and development, with a new level of challenges, speed, and customer expectations," said Sandro Rtveladze.

A New Stage of Development

The bank’s transformation began with internal changes. Over time, processes were modernized, risk management was strengthened, and operational efficiency improved. In 2026, the bank plans to launch new products for the corporate segment, small and medium-sized businesses, as well as retail customers. The main focus remains unchanged — creating convenient, modern, and easy-to-understand financial solutions for clients.

Behind all these results stands extensive teamwork. Attention to customers, willingness to take responsibility, continuous process improvement, and commitment to shared goals gradually build strong performance and sustainable growth.

Ipoteka bank OTP Group thanks every employee for their contribution, professionalism, and dedication, which continue to strengthen the bank’s position in the market and drive it forward.