Moscow, August 15, 2002 - Two loan agreements were signed between Vneshtorgbank and the HSBC Group banks. One of the agreements was signed with the Prague branch of HSBC Bank Plc., London, while the other - with HSBC Bank (RR) Limited Liability Company, a subsidiary of HSBC Bank Plc. in Moscow. Overall, the agreements total USD 9.5 million.
The loans extended to Vneshtorgbank by a major international bank and its Moscow-based subsidiary for four and a half years are to be used for purchasing and installing by the Moscow City Telephone System (MGTS, in Russian acronyms) of sophisticated telecommunications equipment produced in the Czech Republic.
On behalf of Vneshtorgbank the Agreement was signed by Vladimir Dmitriev, Deputy Chairman. HSBC Bank Plc - Prague Branch was represented by Mr. Peter Luketa, Head of Project and Export Finance of HSBC Bank Plc., London UK, and HSBC Bank (RR) Limited Liability Company - by Mr. Richard Tickner, Chief Executive Officer.
It is one of the largest and most successful deals reached by Vneshtorgbank to finance imports from the Central and Eastern Europe. The agreement is a major step for the Bank to restore the trade and economic co-operation between Russia and countries of the Central Europe.
Addressing the audience, Vladimir Dmitriev, Vneshtorgbank`s Deputy Chairman, stressed that the agreements signed would certainly help to develop mutually reinforcing partnership between Vneshtorgbank and HSBC Bank Plc. Central to Vneshtorgbank` strategy, he added, is to further enhance the Bank`s activities aimed at financing foreign trade operations with major financial institutions of the Central and Eastern Europe which Vneshtorgbank is proud to have developed rewarding relationship with.