History

Kuveyt Turk was established in 1989 in the status of Private Financial

Institution.

Regarding the capital of Kuveyt Turk, 62% is owned by Kuwait Finance

House, 9% by the Public Institution for Social Security, 9% by the Islamic

Development Bank, 18% by General Directorate for Foundations and 2%

by other shareholders

Board of directors

KUVEYT TÜRK KATILIM BANKASI A.Ş. Board of Directors

Name Title

Hamad Abdulmohsen AL MARZOUQ Chairman of the Board

Abdullah TİVNİKLİ Vice Chairman of the Board / Remuneration Committee

Mohammed Shujauddin AHMED Member / Audit Committee / Corporate Governance Committee

Khaled N. AL FOUZAN Member

Nadir ALPASLAN Member

Dr. Adnan ERTEM Member / Audit Committee / Corporate Governance Committee

Fawaz KHE AL SALEH Member / Corporate Governance Committee /Remuneration Committee

Ahmad S.AL KHARJI Member

Ufuk UYAN Member / General Manager / Remuneration Committee

Board of Directors

Audit Committee Board of Directors

General Manager

Retail Banking

Commercial Banking

International Banking

Internal Systems Committee

Bank’s Capital Structure

Bank’s Capital Structure

Shareholder Percentage %

Kuwait Finance House 62.24

Directorate General of

Foundations

18.72

Islamic Development

Bank

9.00

State of Kuwait Social

Security Institution

9.00

Other 1.04

Total 100.00

Shareholding Structure

Kuwait Finance House KSC

General Directorate for Foundations,

Turkey

Islamic Development Bank

The Public Institution for Social Security

Other

Industry analysis

Accounts

Payments &

collection

MoneyGram

Services

Insurances

Individual Pension

Investment

PRODUCTS

Net profit

0

50,000

100,000

150,000

200,000

250,000

300,000

350,000

400,000

2011 2012 2013

Net profit

Net profit

Corporate strategy

“Following our “2018 Vision” long-term strategy, Kuveyt Türk aims to be one of the top ten banks with over 600 branches in Turkey.

2018 targets:

Participation Funds: Kuveyt Turk aims to collect TL 3 billion in funds in the retail banking segment and TL 650 million in the business banking segment.

Fund Allocation: Kuveyt Turk aims to extend an additional TL 1.9 billion in loans, thus reaching TL 3.8 billion in total loans extended in the business-banking segment.

Credit Cards: Kuveyt Turk plans to sell 100,000 Sale Plus credit cards, 12,000 İhtiyac Cards and 6,000 Business Cards.

SWOT analysis

Strength

High potential growth “370M in 2014”

A huge reserve of gold

A pioneer Islamic bank among few Islamic banks in Turkey

“Kuwaiti capital”

SWOT analysis

Weaknesses

National saving is considered to be very low

A big gap in understanding of Islamic finance

A big gap in understanding of Middle Eastern capital.

Banking market is controlled by a few big banks.

Participation banks market share stands at only 5% of total banking sector

SWOT analysis

Opportunities

A large amount of foreign investment is attracted.

It has strong potential of growth.

Islamic Banking is a growing market segment that offers attractive

opportunities to potential and existing customers

E-banking facility is also a new opportunity which is a flourishing business in

foreign countries and can also be here

SWOT analysis

Threats

Exchange rate and inflation risk

Increasing competition in the banking sector

Huge number of banks in Turkey

‘Adhering to Islamic rules’ a critical challenge to participation banking

adoption

Recommendations

Increasing number of ATMs.

Sponsoring some events to improve the public image of the bank.

Being more flexible with foreigners in banking transactions.

Offering foreign languages courses to the employees.