23 May 2003
A Co-operation Agreement was entered into between Vneshtorgbank and the Russian Ministry of Education on 28 April 2003.
The Agreement is aimed at developing and securing long-term partnership relations maintained nowadays between VTB and the Ministry of Education. Close co-operation between the Ministry of Education and VTB based on the Agreement will foster dynamic investment policy in the field of education and higher school science, reform and develop technology training enterprises, contribute to efficient implementation of federal and intergovernmental target programmes.
The Co-operation Agreement is intended to lay the groundwork for extended co-operation of Vneshtorgbank with entities engaged in business in the education field. Under the Agreement, a plan of joint efforts is to be prepared within two months on some business lines such as follow:
- mortgage programme of the Ministry to be implemented with a view to solve housing problems facing education and higher school personnel, where Vneshtorgbank will act as a clearing centre and a fund raising agent;
- added pension payment system to be established for the education industry staff based on the Ministry-run commercial pension fund and the Science Trade Union Central Committee which is Vneshtorgbank`s client;
- a clearing and settlement machinery to be established to make payments for commercial services rendered to foreigners at Russian higher schools, which saves the trouble of using cash in hand for payments in favour of the training centre and bringing foreign exchange from abroad;
- lending scheme already used with the Education Support and Development Foundation to be further developed in favour of entities serving State-run higher schools from extra-budgetary funds under projects involving construction, rebuilding, equipment purchases and in other fields;
- plastic card payroll projects to be introduced for the Ministry and higher schools staff;
- participation of the Bank as a clearing centre in joint project by the Ministry and the IBRD;
- some joint projects to be implemented by branches of the Bank and Ministry-run higher schools in the regions.
In addition, partnership relations are to be established between the Bank and social organisations acting within the education system such as the Russian rector union, Private higher school association, and directly with a number of leading higher schools both privately- and state-owned, which will allow in the future to make VTB a core bank for the national education system.
Andrey Kostin, Vneshtorgbank`s President and C.E.O. and Vladimir Philippov, Russian Education Minister signed the Agreement.
According to Mr. Kostin, "education is the quick of the social sphere, which can not be based solely on the government support. This Agreement, as we see it, will serve as a basis for a more active participation of Vneshtorgbank in education system advancement in Russia. The Bank hasassed substantial expertise of dealing with training centres. Its clients are higher schools such as the State University -Higher School of Economics, The Moscow Institute of International Relations, the Moscow State Linguistic University, the State University of Management, the Moscow International Graduate School of Business (MIRBIS). Most Bank`s branches alsoassed experience in this respect."