VEB announced the attraction of money of banks to co-Finance projects

Vnesheconombank intends in 2017 to begin to attract funds from commercial banks to co-Finance projects. The journalists said the Deputy Chairman of Vnesheconombank Sergey Vasiliev at the conference “Eurasian economic integration” organized by the newspaper “Vedomosti”.

“We are talking about what will be the projects co-financing with commercial banks. Not only with Sberbank, VTB — there will be no exclusivity,” — said Vasilyev.

He explained that the current procedure does not provide for the involvement of commercial organizations. First, this possibility should be spelled out in the strategy of the Bank, then the business model and procedure. “After, we will provide it in a procedure, you can move on to working with projects. I think the first draft will really go next year”, — said Vasilyev.

Vasilev on Friday has said that the Bank is undergoing a process of restructuring, which, in particular, involves the removal of restrictions on participation in projects of Vnesheconombank’s commercial and international banks. “We are talking about greater co-financing in our projects. The second point is that we will be more concentrated in the sense of a sectoral profile of our projects. Despite the fact that in the financial policy Memorandum of Vnesheconombank was quite a comprehensive list of priorities, nevertheless the money had smeared a thin layer on a large number of projects and not enough important for the economy”, — said Vasilyev.

He also said that the Bank will focus on four main areas: high value added industry, infrastructure, innovation and support exports. “The infrastructure I must say that now one of the areas that stands out is green energy, alternative energy, new energy, where we’re going to cooperate with other international development banks”, — he said.

Speaking of project financing, Vasiliev noted that until now this was done inefficiently. “Now, if we talk about the actual project approach, one of the drawbacks was that we started the projects, but weak enough they served. Now the focus will be on monitoring, on tracking the social and economic effects in the projects, because development Bank profit is not the main indicator, but the overall socio-economic effect is,” he said.

“I think maybe we will move on to the practice of international banks when the evaluation of the project not only on indicators but also on General impact on the socio-economic situation. But from the point of view of the completion of the project. At the entrance to the project approach will also change. We still followed the principle “who come, served” — such a passive policy. All know our profile is coming, what are the potential borrowers. We’re going to go to an active search of projects with agencies. Now in the first place (plan to work. —) with the Ministry of industry,” — said Vasilyev.

The new leadership VEB warned that waiting for a loss in 2016-2017. “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 VEB’s Chairman Sergey Gorkov in early August at a meeting with President Vladimir Putin.

Gorkov became head of Vnesheconombank in February 2016, replacing in this position Vladimir Dmitriev, who led the VEB 12 years.