Within the framework of the official visit of the president of Russia to the US, Vladimir Putin, US Ex-Im Bank, the Bank For Foreign Economic Affairs of the USSR (Vnesheconombank), and State Specialized Russian Export-Import Bank (Ex-Im Bank of Russia) have signed the Parallel Financing Cooperation Understanding.
The understanding expresses a strong commitment by the parties to establish a framework for enhanced and long-term cooperation with a view of facilitating Russian and US exports of capital goods and services to third countries.
It envisages cooperation in project financing in third countries, with specific reference to the following areas: exchanging information and consulting on terms and conditions of potential projects to be implemented in third countries on a parallel basis; information exchange in the field of structured finance; and mutual assistance in other areas of project and trade finance.
“Hopefully, the understanding will be a significant leverage in both countries’ exports promotion drive and give a fresh impetus to expanding joint business ventures. We are fairly confident the understanding will be a hallmark event opening a window opportunity for ours banks cooperation in new areas”, says Vnesheconombank’s chairman Vladimir Chernukhin.
“We are very pleased to be signing this new agreement with Vnesheconombank,” adds US Ex-Im chairman Philip Merrill. “Vnesheconombank has been our partner for the last ten years in Russia and we look forward to expanding our cooperation to develop projects in third countries.”
In fact, US Ex-Im and Vnesheconombank have had established a successful partnership since 1992 when the first framework cooperation agreement was signed. Since then, more than 30 individual projects totalling US$1.2bn have been successfully financed.
Founded in 1924, Vnesheconombank is a specialised state financial institution. It serves as a major financial institution of the Russian government in servicing major state projects launched within the territory of Russia and beyond.
Established in 1994, Eximbank of Russia is designed to be a key state policy financial instrument supporting domestic exports promotion.