On February 7, 2005, Vneshtorgbank and the Government of the Republic of Chechnya entered into a Cooperation Agreement.
In the presence of Alu Alkhanov, President of the Republic of Chechnya, the Agreement was signed by Chechnya Government Chairman, Sergey Abramov and Vneshtorgbank President and CEO, Andrey Kostin.
The Agreement is designed to enhance financial and banking support for the Government of Chechnya and its bodies, as well as to facilitate implementation of the federal target programs in the Republic of Chechnya which are given top priority.
In particular, the Agreement stipulates offering comprehensive banking services by Vneshtorgbank to the Chechnya Government and other government bodies, financing investment projects and programs of the Government, providing advisory and information services under joint projects.
The Agreement paves the way to creating a modern banking infrastructure in Chechnya underpinning the implementation of the federal program of the Republic`s economic and social recovery. Enjoying the benefits of long-term credit facilities and banking technologies of global standards, Vneshtorgbank has demonstrated its active involvement in the process. Thus, acting within the framework of the Agreement signed, Vneshtorgbank will facilitate raising long-term investment resources to be channeled into the economy of Chechnya.
Presently, Vneshtorgbank considers financing a number of projects aimed at developing the industrial sector of the Republic`s economy, particularly, at manufacturing metal-plastic pipes for housing.Also, the Bank aspires to forge closer ties with regional companies of Rosneft and RAO UES of Russia to improve energy supplies to households and industries of Chechnya.
At 2004 year-end, a new division of Vneshtorgbank started its operations in Grozny offering a full range of banking solutions both to civil citizens and military servants based in Grozny.Also, comprehensive banking services will be extended to government bodies, public and social enterprises and Russian companies operating in the Republic.