VEB increased its net loss of almost 83 billion.


The Bank’s January-June net loss under IFRS year-on-year by 12.7%, to 82.8 billion rubles, follows from the statements of the Bank. Second-quarter net loss narrowed for the second quarter of last year by 2.6 times to RUB 24.5 billion.

“In the second quarter of 2016, there was a significant improvement of financial results of the Bank compared to the same period of 2015 and first quarter 2016. However, the decline in exchange rates of foreign currencies against the ruble led to negative foreign exchange revaluation that negatively impacted the result of the first half of 2016,” reads a press release of the Bank.

As evidenced by statements, the costs of the web for the reserves in the second quarter decreased 2.8 times (up to 24 billion rubles.), but overall for the half year increased by 2.6 times (to 200.2 billion rubles).

Personnel expenses of Vnesheconombank in April-June was almost unchanged, amounting to 6.1 billion RUB compared to 6 billion rubles a year earlier. Thus 10% increase in costs in the half — year to 13.1 billion rubles.

Previously EBV has published statements under RAS, according to which the Bank in the first half of 2016 received a net loss of $ 17.1 billion. is 3.8 times less than in January-June last year.

In 2015 the Bank lost the possibility to refinance foreign debt due to sanctions, faced with serious financial problems. During this year the government provided the Bank with assistance. Support was provided, including in the form of renewal of foreign currency deposits of the NWF on concessional terms, the provision of subsidies to 150 billion rubles., and 9-month deposits of the Federal Treasury by 100 billion rubles (placed under the key rate of the Central Bank).

Reorganization of geospacial began with the change of top management. In late February, President Vladimir Putin has dismissed Vladimir Dmitriev as head of the Bank and the appointment of the former Deputy Chairman of the Board of Sberbank Sergey Gor.

The new leadership VEB warned that it expects a loss in the period of 2016-2017 years. “Overall, I think this year we will be able to build a basic process, in 2017 to bring the Bank to normal operation in 2018 to make a profit,” — said the new head of the Bank in June.

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