Within cooperation with the major domestic truck manufacturer, VTB has set a RUB 7 billion documentary credit limit for KAMAZ Group.
The new limit will allow the company to take advantage of VTB's ample opportunities in financing operational and investment needs, using a full range of instruments accepted in the international banking practice. In particular, the limit provides for funding the ordinary business of KAMAZ, extending loans to purchase vehicles and equipment, effecting derivative and forex transactions, as well as financing with the help of foreign export insurance agencies.
Today, VTB provides services to 10 members of KAMAZ Group. Two of these companies are active borrowers of the Bank and employ credit resources to finance their current activities and to purchase equipment. In total, since 2003, within the former credit limit, the Bank's turnover with KAMAZ Group members has exceeded USD 1.3 billion. Among other things, VTB has granted loans to JSC KAMAZ and Group-related distributors and financed purchasing of equipment for the new project to develop extra load truck line KAMAZ-6520.
VTB's target is to further enhance financial support to the real economy. The total volume of documentary credit limits set for engineering enterprises, regarded by the Bank as a priority business line, currently exceeds USD 3.53 billion.