April 20, 2011 a loan agreement signed to provide the European Bank for Reconstruction and Development (EBRD) to the daughter company of Bank VTB (Kazakhstan) a loan for U.S. $ 20 million. Funds provided for the purposes of trade financing.
The EBRD loan will help the Bank VTB (Kazakhstan) in service companies, leading foreign trade activities, and simplify the process of granting loans with longer maturities.
"We believe that by signing this agreement, VTB Bank (Kazakhstan) will be able to support a greater number of importers and exporters in Kazakhstan, and will increase the trade turnover between Kazakhstan and other countries" - said Rudolf Putz, Head of the EBRD`s Trade Promotion Program.
The EBRD Trade Promotion Program stimulates foreign trade. With this program, the EBRD provides guarantees to international banks confirming letters of credit, taking on political risk and the risk of non-payment of trade in foreign trade operations. The investment strategy of the Bank for Kazakhstan focuses directly on the support of the corporate sector, studying the financial needs of the market, as well as to stimulate economic diversification and innovation.
Following 2010, the Republic of Kazakhstan won the second place (after Russia) on volume of transactions within the framework of trade facilitation among all partner countries the EBRD.
Sergey Gusarov, Chairman of the Board to the JSC VTB Bank (Kazakhstan) said:
"Signed with the EBRD loan agreement will allow us to finance and carry out transactions with the confirmation of letters of credit at lower interest rates. In addition, the Bank will be able to confirm letters of credit with foreign banks without opening lines of credit, using the high image of the EBRD”.
SO JSC VTB Bank (Kazakhstan) is a 100% subsidiary of JSC VTB Bank, offering a full range of banking services to corporate clients and individuals.
Rating agency Fitch Ratings has assigned the Bank VTB (Kazakhstan), long-term rating «BBB-» / forecast "Stable".
EBRD began its operations in Kazakhstan has invested over 2.8 billion euros in more than 130 projects in various sectors of Kazakh economy, involving additional investments of more than 7 billion euros. About 70% of projects are investments in private sector development of Kazakhstan.