Vneshtorgbank and European Bank for Reconstruction and Development (EBRD) agreed to extend the agreement on granting Vneshtorgbank a revolving credit to finance the agribusiness industry (both producing and processing companies).
Vneshtorgbank will use the credit line, which was enlarged from US$15 million to US$25 million, to make loans denominated in roubles and US dollars for up to 1 year to domestic agribusiness companies.
The credit line is of interest, first and foremost, to companies operating in regions with the developed agribusiness sector. At present, Vneshtorgbank successfully co-operates with agribusiness companies, including, major traders and processing companies operating in Russian southern regions. Similar credit lines earlier made to Vneshtorgbank in 2002 to 2003 were used to finance customers handled by VTB branches in Rostov-on-the-Don, Belgorod, Vladimir, Samara, Saratov and others. This was instrumental in opting for Vneshtorgbank to implement the EBRD-run project.
In addition, Vneshtorgbank earlier co-operated with EBRD under another programmes as well. Throughout its participation in a variety of EBRD programmes, out of funds raised from EBRD, Vneshtorgbank issued guaranties and made loans to Russian exporters totalling over US$325 million.