Komerční banka and Union of towns and municipalities continue to cooperate

Press release

Prague, 11 August 2015 – Komerční banka (KB) and Svaz měst a obcí ČR [Union of Towns and Municipalities of the Czech Republic] (Union) have entered into another three-year agreement on cooperation. The agreement seals the traditionally good relationships between the bank and the organisation that promotes the interests of Czech towns and municipalities. Continued cooperation is expected to help local self-governments to develop, and to enhance their councillors’ knowledge of financing and bankers’ knowledge of public administration.

KB and the Union also expect the new agreement to help them boost their cooperation and communication, and improve information provision to one another. The partners will also work on jointly organised events focused not only on improving local politicians’ and municipal employees’ financial knowledge and competence.

“At Komerční banka, we are well aware of Czech towns’ and municipalities’ specific needs. Our high-quality services in payments and financing, including assistance in drawing on Czech and EU subsidies, and our more advantageous financing programmes prepared in cooperation with European financial institutions – all of these testify to the importance that Komerční banka ascribes to these clients,” said Radek Basár, Deputy Executive Director for Marketing a Communication at KB.

“We are delighted by the extension of our agreement with Komerční banka, especially because of the fact that this financial organisation has a tradition of investing in the development of Czech towns and municipalities and supporting local self-governments. I am confident that the new cooperation will even improve the well-working ties between the public sector and banking and help to find additional ways for developing towns and municipalities for the benefit of their residents,” said František Lukl, Chairman of the Union of Towns and Municipalities and Mayor of Kyjov.

Komerční banka is one of the most important financial partners for Czech municipalities. By financing towns and municipalities and building long-term relationships with them, the bank contributes to the stability and development of the whole sector in the Czech Republic.

Komerční banka is the only publicly traded Czech bank. As at 30 June 2015, KB had 42,834 shareholders, 37,666 of which were individuals from the Czech Republic. Komerční banka’s capital adequacy ratio and liquidity under the new Basel III regulatory framework confirm its good position and room for further growth of the bank’s activities.

Komerční banka is one of the best run universal banks in Central Europe. It provides comprehensive services to clients in the areas of retail, corporate and investment banking. The Komerční banka Group’s 8,422 employees serve 2.5 million clients, who can use an extensive network of 399 business points throughout the country. Komerční banka currently operates 762 ATMs and 1.3 million of its clients use one of direct banking channels. KB is a part of the Société Générale Group.

The Union of Towns and Municipalities of the Czech Republic is a nationwide voluntary, apolitical, and non-governmental organisation. Towns and municipalities are members of the Union. The Union is a partner for governmental and parliamentary political representatives. It helps to prepare and develop proposals for legislative and non-legislative measures in areas within municipalities’ remit, both at the national and the European level. The Union’s operation is mainly based on activities of the mayors and members of municipal assemblies who also address the general issues of local self-government in addition to attending to their duties. The Union brings together more than 2,600 towns and municipalities, through which it associates more than eight million citizens of the Czech Republic. For more information please visit www.smocr.cz.