In the currency
That the web can again expect to receive in 2016 300 billion rubles from the national welfare Fund (NWF), has become known from the draft of new rules for allocation of the Fund on the deposits of the Bank. The relevant draft decree published by the Finance Ministry for a public discussion on the portal regulation.gov.ru.
The Ministry of Finance proposes to amend the requirements for financial assets, which can accommodate the funds of the NWF so that the allowable aggregate amount of funds on Deposit with Vnesheconombank increased by 300 billion rubles with 655 billion to 955 billion rubles in addition, the possibility to place these funds in rubles and in foreign currency — dollars, euros and pounds sterling. These 300 billion rubles were pledged to VEB by the government’s anti-crisis plan for 2015, but then it was only on ruble deposits.
The funds will be used to Finance projects of Vnesheconombank, said in a Memorandum. According to the plan, the purpose of the transfer of funds of the NWF — “the increase of volumes of crediting the real sector of the economy.”
Last spring, the Finance Ministry insisted that the money the state Bank will be able to get only for specific projects. In April 2015 the then head of VEB Vladimir Dmitriev said that the decision on allocation to the Fund were made for maintenance of authorized activity of the Bank. “These decisions remain valid and are not discussed”, — he emphasized. Dmitriev was hoping that the Bank will get the money, “probably until the end of [2015],” but the funds were never received.
In new documents the specific projects are not named, reported only that the projects funded through these 300 billion rubles, and the amount, term and interest rate should be determined by the Supervisory Board of VEB. Currency and Deposit amount and periodicity of payment of interest needs to determine the Ministry of Finance in accordance with the requests from VEB for each specific project.
The term of each Deposit must not exceed 30 years, interest rate on ruble deposits should provide a yield of 6% per annum. With foreign currency deposits interest rate offered to link to the official consumer inflation USA, the EU and the UK in the year prior to the beginning of the interest calculation, increased by 1 percentage point. To exclude the effects of currency fluctuations, it is proposed to take as a basis the official exchange rate to the ruble from the Central Bank on the date of Deposit in foreign currency.
Funds placed on deposits in Vnesheconombank in roubles, which will not be used to Finance projects, the state Bank will be placed on Deposit at fixed interest rates. Payment of interest on the Deposit shall be held not less than once a year. The VEB will report quarterly on the direction of funds from the Deposit to Fund projects, and use funds for projects were not.
The amount of each Deposit should be determined taking into account the fact that the total share of FNB for each project should not exceed 40% of the total funding.
Bad debts
In December of 2015, President Vladimir Putin said that many development institutions has become a “dumping ground for bad debts”. The external debt of VEB is more than 1 trillion rubles, in 2016 it is necessary to direct on repayment of Eurobonds worth about 200 billion rubles a Potential capital hole in VEB due to bad Sochi and Ukrainian loans, Fitch estimated in 500-600 billion rubles.
By the end of 2014 net loss VEB reached a record of 250 billion rubles, a loss for the first half of 2015 amounted to 73.5 billion rubles: their cause became significant allocations to reserves for problem loans.
On February 26, Putin has appointed the new head of Vnesheconombank Sergey Gor signed a decree on dismissal of Vladimir Dmitriev.
More support
In late February, chief economist VEB Andrei Klepach said that the Bank will continue to operate as a development institution, through which can be invested in various projects about 300 billion rubles from the NWF. He explained that we are talking about projects that will ensure the repayment of funds in the long term, i.e., “where commercial credit is not working” (quoted by “Interfax”). However, he added that to compensate for the failure of investment that now exists in Russia, more than 300 billion rubles.
That the solution of the problems of the web in 2016 is required to send 150-200 billion rubles, a little earlier, in January, said economic development Minister Alexei Ulyukayev. Partial help is provided. First, the government adopted a decree, according to which in a separate decision the White house can be prolonged for five years, the terms of the subordinated deposits from the national wealth Fund placed with VEB, while reducing interest rates from LIBOR + 2,75/3,00% to 0.25% per annum and establishing a grace period for payment of interest for up to three years.
Secondly, on 4 February the government ordered to allocate from the Federal budget and to place on Deposit with VEB 100 billion rubles for a period up to 270 days at a rate equal to the key rate of the Central Bank. The allocation of this amount was made possible after changes were made to the Budget code, allowing you to store budget funds on deposits in Vnesheconombank.
Published on 1 March anti-crisis plan of the government for 2016 envisages the allocation of budget funds through VEB in the amount of 49.1 billion rubles In this part of the state is not “real” money, and the state guarantees. The approved anti-crisis plan in the block relating to the financing of activities in support of the state Corporation, the exact amount to VEB is not marked.
In other embodiments, the anti-crisis plan was proposed to capitalize the Bank in 2016 in the amount of 150 billion rubles. One of the high officials of the government previously said that 150 billion rubles. may not be necessary, if the right to evaluate and dispose of the assets of the Corporation.
Representatives of the Ministry of Finance and VEB at the time of preparation of article did not answer the request .
