4 November 2003
A signing ceremony took place in Moscow on 11 September where a framework co-operation agreement was entered into between Vneshtorgbank and Bank of Communications, Shanghai, China.
Vladimir Dmitriev, Executive Vice President and Deputy Chairman, for Vneshtorgbank, and Yin Jieyan, President, for Bank of Communications, signed the Agreement.
Under the Agreement, Vneshtorgbank and Bank of Communications agreed on further development in a variety of lines in banking business and mutual exchange of information. The Agreement signed will foster partnership relations between the two Banks pursuant to intergovernmental arrangements between the Russian Federation and the People`s Republic of China.
Financial services for foreign economic relations between Russia and China will be top priority in developing mutual co-operation. Under the terms of the Agreement, Vneshtorgbank and Bank of Communications will actively assist in developing trade both in conventional and new forms, in particular, through expansion of the regional co-operation between their branches and subsidiary banks located in regions close to the mutual border.
The Agreement also contains arrangements reached between Vneshtorgbank and Bank of Communications on expanding the existing spectrum of services on short- term and medium-term trade finance for their customers. In addition, the Agreement envisages concerted efforts of the Parties in of medium-term and long-term investment projects to be implemented between Russia and China.
In order for provisions of the Agreement to be fulfilled, the two Banks agreed on mutual credit lines to be opened for conversion, deposit, and documentary transactions.
The signing of this Agreement became another achievement of Vneshtorgbank in developing co-operation with leading Chinese banks. At present, leading Chinese banks such Industrial and Commercial Bank of China, China Everbright Bank, the Bank of China, China Construction Bank areong VTB`s core partners, which ensures Vneshtorgbank pioneering positions in providing services for foreign trade relations between Russian and China.
For reference: Bank of Communications is a commercial bank. As of 30 June 2003, the bank was the fifthong the domestic banks and 105th world-wide in terms of total assets.