On November 19, 2006 Vietnam-Russia Joint Venture Bank (VRB) was officially opened in the presence of Vladimir Putin, President of Russia, and Nguyen Minh Triet, President of the Socialist Republic of Vietnam.
VRB is a joint venture of VTB Bank and the Bank for Investment and Development of Vietnam (BIDV). The capital of a new financial institution amounts to USD 10 million, 51% stake is owned by BIDV and 49% is acquired by VTB. The key business activities of VRB will be project finance, export-import finance, lending to Russian enterprises operating in Vietnam, and international settlements (Russia-Vietnam).
VRB will become the first Russian bank in Vietnam. Citing Andrey Kostin, VTB’s CEO and Chairman, «a bank of such type is sure to further enhance bilateral trade and economic relations; it will make trade settlements between the two countries more accessible and facilitate implementing large joint projects in Vietnam with the participation of Russian capital. The VTB Group, a leading international financial holding in Russia, is striving to expand its business in the countries of the Asian-Pacific region and the establishment of VRB has become a benchmark to accomplish these tasks».
A fundamental decision to set up Vietnam-Russia Joint Venture Bank was made within the framework of an official visit of Russian Prime Minister Mikhail Fradkov to Vietnam from 15 to 17 of February, 2006. The Memorandum of establishing the bank was signed at the 5th meeting of Vietnam-Russia task force on interbank cooperation, which took place in Danang in May 2006. The signing of the bank’s constituent document took place on 31 August 2006 during a visit of Vietnamese representatives to Moscow.