Chubais: project financing does not contribute to the development of the Russian economy


MOSCOW, October 14. Project financing does not contribute to the development of the Russian economy, Mr Chubais said in the debate on the 25th anniversary of the economic transformation in Poland and Russia.

“And indeed, as already noted by Anton Germanovich (Siluanov approx.), developing project financing of GDP we don’t develop”, – said Chubais, Minister of Finance of the Russian Federation Anton Siluanov.

Tuesday, October 13, Siluanov said that he believes project financing for an ad hoc anti-crisis measure, to continue that impractical. According to him, it was an artificial mechanism to stimulate demand for individual projects. The Central Bank in the face of declining rates do not need to Fund the banks at even lower rates, Siluanov said, underlining that if to constantly maintain an artificial demand, in certain sectors of the economy will arise imbalances.

The project financing mechanism was launched in April 2014. Its essence lies in the fact that the Central Bank provides funds to banks at a reduced interest rate secured loans for investment projects.