Aven told Dvorkovich about “sunken” Russian banks

Almost none of the Russian banks in 2015 did not have profit, said a member of the Board of Directors and shareholder of Alfa-Bank Petr Aven during Exchange forum in Moscow. So he responded to the words of Deputy Prime Minister Arkady Dvorkovich, who told about the complaints of entrepreneurs at high interest rates on loans, transfers “Interfax”.

“Four banks in the country last year earned a profit, what are the odds? Four banks! Almost all banks are “under water”. What are generally talking about income?” — said Aven.

Before this on the forum, Dvorkovich said that the businessmen had complained to him, banks are setting rates on loans for entrepreneurs at 20% per annum. At this rate cost-effective investment projects can not be, if it “does not sell weapons, drugs and other such activities”, said the Deputy Prime Minister. “If we talk about lawful business at this rate is impossible to give in a loan,” he said.

Dvorkovich in response to the words of Aven has noticed that from-for high rates, banks are not able to repay the loan funds.

Later in the forum discussion resumed when the head of the Central Bank Elvira Nabiullina warned that lowering interest rates to the detriment of the task of reducing inflation can result in negative consequences for the economy. “What is offered through inflation to spur economic growth — a big-a big illusion, it can lead us to what we enter an inflationary spiral”, — she emphasized.

After that, the co-owner of Alfa-Bank returned to Dvorkovich discussed the topic. He noted that banks “all the time Express that we are expensive loans”, when in fact, he said, real rates are “low” and the margin “is really very small, 5-6%”.

“Imagine that in a market economy, the Prime Minister and his Deputy give instructions to the banks, what rates to lend. This is quite a revealing story. This is a question only of the market”, — said Aven. “It seems to me that it is not necessary to interfere, and these conversations, I totally agree with MS Nabiullina [Central Bank Governor], very dangerous. This will only lead to one thing — the spiral of inflation,” the banker added.

At this Dvorkovich said that “far from thinking someone suggest what rates to lend”. “I just said that’s strange to me that companies and banks consider granting and obtaining loans under 20%,” he said.

Aven responded by saying that the amount credited to small and medium business for the year rose “significantly”. For his part, Dvorkovich again reminded about the risk of loan default. “Well then you and the other banks will come and say that we non-payment, we must therefore raise the rates for everyone else, because we have to lay down the provisions on these defaults. In this danger. There is a clear realistic level of profitability of projects in large, small business that identifies a specific level of interest rates”, — concluded the discussion Deputy Prime Minister.

Petr Aven took 317 place in the global Forbes list of billionaires. His condition edition is estimated at $4.9 billion