Founded in 1963, The Cyprus Development Bank boasts an impressive history of achievements and milestones which has shaped us into the leading financial institution we are today.

1963     

The Cyprus Development Bank comes into existence

The Cyprus Development Bank Public Company Ltd was established in 1963 as a public company to promote economic development in Cyprus by mobilizing and allocating scarce human and capital resources.

1963-1974       

Building a portfolio

The Cyprus Development Bank's financing activities covered a very broad spectrum of the economy's productive sectors, with emphasis on the fields of manufacturing and industrial processing. Capital was provided in the form of medium and long-term loans as well as equity and venture capital.

1974-1976       

Turkish invasion wreaks havoc

In addition to the large-scale displacement of the population, the Turkish invasion of Cyprus in 1974 paralyzed the local economy. The Cyprus Development Bank had to write off 47% of its loans and about 30% of its equities, and faced a perilous future. The Government’s Scheme of Arrangement of May 1976 helped the Bank restore its credit-worthiness and resume its activities.

1976-1984       

Steady growth and profitability

After the Turkish invasion, one of the Bank’s basic objectives was to support viable small-scale manufacturing industries. To this end, the Cyprus Development Bank restructured its organization and recruited additional professional staff. Lending operations were directed towards the establishment of export-oriented businesses and the development of tourist facilities. Advisory and project management services were introduced. The Bank’s investment department formed the Cyprus Investment and Securities Corporation (CISCO), which actively supported the Cyprus Stock Exchange. In 1984 a special consultancy division was established to support local entrepreneurs.

1985-1989

Developing and diversifying

By 1985, the Cyprus Development Bank was ready to branch out into new fields, which included equities and venture capital operations. At the same time, new business opportunities were identified and developed. The Bank’s lending portfolio exceeded the CP20 million mark, and was distributed among the manufacturing (50%), tourism (40%) and other minor sectors of the economy (10%).

1990     

Consultancy and management services at the forefront of activities

During 1990, the Cyprus Development Bank reaffirmed its ability to provide valuable consultancy services to semi-governmental organisations and municipalities, and executed a number of government projects and assignments.

Information Technology (IT) was an area of intense activity, as the Bank carried out a study on the development of a national IT strategy for Cyprus, co-sponsored with UNDP. Novasys Information Services Ltd was established as a Bank’s subsidiary offering the business community specialized IT services. The Bank also established the Cyprus International Institute of Management, a high standard postgraduate business school.

1991     

EIB acquires a 5.5% share of the Cyprus Development Bank

In 1991, the Cyprus Development Bank ceased to be 100% government owned, as the European Investment Bank became a shareholder by acquiring 5.5% of the Bank’s share capital.

Focusing on maintaining the balance between development and environment, the Cyprus Development Bank created the “Enalion Environmental Management Centre”, which undertook research, consultancy and environmental impact studies and contributed to the development of environmental economic policies.

1992     

Preparing for Europe

The modernization of the industrial sector was a priority for the Cyprus Development Bank’s Banking Division. Meanwhile the Consultancy Services Division prepared a proposal on a national health scheme for the government, and commenced the execution of a major UNDP financed project for strengthening the competitiveness of Cyprus industry. Novasys undertook the computerization of the operations of various government departments.

In anticipation of Cyprus' accession to the European Community (EC), the Bank established its EC Centre in 1992, aimed mainly at providing advice on EC programmes and funding opportunities to local businessmen. In the same year, cdbbank became the intermediary for the EC International Investment Partners Scheme, (ECIP) and operated it successfully in Cyprus until it was terminated by the EC in 1999. ECIP provided financial support to Cypriot businesses, which promoted the formation of alliances with European counterparts for investments in Cyprus.

1993-1997       

A period of diverse achievements

With emphasis on financing the services sector, the Cyprus Development Bank’s banking operations recorded enviable results. The Investment Banking Division strengthened its international network of banking and other institutions, with a view to providing services on an international level. A new business unit, Project Financing, was created to assess and support large new investment projects and start-ups. The Management Consultancy Division undertook several assignments to assist the reform of various economic sectors, public services and organizations. It also helped strengthen Cyprus as a regional telecommunications centre. The Cyprus Development Bank’s subsidiary ‘Enalion’ examined the environmental impact of major projects such as marinas and golf courses.

In collaboration with an American firm, the Project Management Division contributed to the implementation of the planning, construction and commencement of operations phases of the Larnaca and Paphos airports.

During 1996, the EIB increased its participation in the Cyprus Development Bank's share capital to 12%.

1998     

Major steps towards internationalization

The creation of a specialized unit for Treasury Management aimed at supporting the Cyprus Development Bank’s efforts to internationalize its operations. The Banking Division’s loans and venture capital were directed towards technological upgrading, financial restructuring, company flotation and overseas operations. Meanwhile, the Bank’s Centre for SMEs supported local enterprises as well as emerging economies such as those of Armenia and Palestine. In the same vein, the Consultancy Services Division promoted the need for international competitiveness in a liberalized economy. The Project Management Division continued its intense activities within the telecommunications sector and its involvement in the Larnaca and Paphos airport projects.

1999     

The Cyprus Development Bank establishes Investment Bank of Kuban (IBK)

The highlight of 1999 was the long awaited approval from the Central Bank of Russia for the establishment of the Investment Bank of Kuban with headquarters in the Krasnodar region. The new bank was established with the participation of the European Bank for Reconstruction and Development (EBRD) with 25% of the share capital, and the Cyprus Development Bank with 75%.

Other regional activities included the Cyprus Development Bank’s upgrading and restructuring of the Palestinian Development Fund to become a bank, a project assigned to the Cyprus Development Bank by the European Commission.

2001-2003       

Expansion and diversification of banking operations

In April 2001, the Cyprus Development Bank obtained from the Central Bank of Cyprus a banking license to carry out the full range of banking operations in accordance with the existing banking law in Cyprus, including the granting of loans and guarantees of any nature, acceptance of all forms of deposits and performance of foreign exchange transactions. This allowed the Cyprus Development Bank to diversify its funding base by offering different types of Deposit Accounts to institutional and corporate investors. The initiative succeeded in attracting sizeable deposits and continues to be vigorously pursued.

2003-2007        

A new strategic direction

In March 2003, a new Chief Executive Officer was appointed and soon after, a new strategic direction was put in place.

The strategy emphasized that the Cyprus Development Bank would remain a small, flexible financial institution, without an extensive branch network. It also provided for the establishment of additional units and the recruitment of a number of banking experts to manage the new products and services. More specifically, the new strategy focused on the following:

• Maintaining its traditional activities of corporate lending and equity participation based on stringent quality evaluation criteria
• Continuing to offer project financing expertise to sophisticated clients, and establishing itself as the leading arranger and agent for syndicated loans in Cyprus
• Expanding its range of products, geared to the needs of both local as well as international corporate clients
• Intensifying its efforts to attract deposits
• Introducing banking services to international (“offshore”) companies registered in Cyprus and abroad as well as expatriate individuals residing in Cyprus
• Offering to high net worth individuals a suitably designed range of products and services
• Monitoring general government policy in relation to specific initiatives being undertaken, especially in the areas of technological innovation and alternative sources of energy

2008     

New Ownership

Following the successful conclusion of the Bank’s 45-year life cycle as a government-owned developmental institution, the Bank was privatized early in 2008. The Bank’s new shareholders comprise of prominent Cypriot business groups with established presence in diversified fields of activity, both locally and internationally.

The Bank’s new vision is the evolution of the Cyprus Development Bank into a focused, niche financial services institution with commercial orientation, offering excellent quality service in a direct, personal and friendly manner. The basic pillar of the Bank’s future development is the Cyprus business community, including the large, medium and small sized enterprises, as well as professionals and international businesses. Since privatisation, the Cyprus Development Bank has concentrated on introducing new products and services, especially targeting its valued private and institutional depositors. The Cyprus Development Bank is also focusing on the provision of investment banking and asset management services through its subsidiary Global Capital. In parallel, the Cyprus Development Bank is strengthening its subsidiary bank in Russia, significantly expanding its local operations with a focus on small and medium size enterprises.

2009     

New Corporate ID

In October, 2009, the Bank launched its new corporate identity, comprising of a new trade name “cdbbank”, with new colours and logo, which reflect the Bank’s new corporate philosophy and strategy.  The Bank’s more modern name constitutes a bridge between the Bank’s long history, experience and credibility and the new dynamic, modern and flexible organization now being created. The new house style with the infinity symbol is seen as an expression of the Bank’s intention to respond to its client needs flexibly and efficiently, providing increased customer value.

At the same time, the Bank’s first Business Centre opened in Nicosia and the range of products and services offered was enhanced to accommodate the needs of its clients.

2010-2011       

Expansion of operations

In 2010, cdbbank launched its first International Corporate Banking in Nicosia in an effort to serve both individual and corporate international clients.

In October 2011, the Bank launched its second Business Centre, in Limassol to exploit the opportunities offered in this fast developing city. This new opening contributed significantly to the expansion of the Bank’s customer base and operations.

2013     

Financial Crisis

The unprecedented financial crisis of 2013 and the haircut on deposits imposed by the Eurogroup, resulted to the creation of a very difficult financial environment in Cyprus. Most of the local businesses were affected negatively and were unable to meet their financial obligations. cdbbank reacted proactively and restructured a large number of credit facilities to protect and support its customers and preserve the quality of its loan portfolio. 

2014     

Full recapitalization

In 2014, the Bank was fully recapitalized and strengthened to face the consequences of the financial crisis of 2013.  The Bank’s focus was on the preservation and efficient allocation of its resources, both capital and human. In this respect it continued its prudent and supportive policy by granting them adequate time to improve their distressed situation and thus be able to service their future loan obligations in a timely manner.

2015     

A new era

cdbbank entered a new era and continues to offer high quality services to domestic and international clients. Significant investments have been made to acquire state-of-the-art digital systems in an effort to provide a holistic, customer centric approach through digital transformation.

2016        

Steady growth

In 2016 cddbbank was honored with the “Best Corporate Bank in Cyprus for 2016” award from the international accredited financial magazine Capital Finance International, CFI.co as a conclusion of its continuous efforts of delivering excellence and value to its clients.