Russia's state-owned development lender Vnesheconombank plans to open a representative office in Abu Dhabi this month, news agency Prime reported May 10, citing VEB's head Sergey Gorkov.
The office is set to serve as a platform for interactions between Russian businesses and companies from the Persian Gulf, primarily those from the United Arab Emirates, the executive noted.
Gorkov also said the lender expects to end 2018 with a profit, unless it turns out that it will have to set aside additional provisions for loans provided to aluminium company Rusal and other U.S. sanctions-affected companies, Prime said in a separate, same-day report.
VEB, which posted a net loss of 287.7 billion Russian rubles for 2017, holds a 3.15% stake in Rusal, while the value of loans provided to the company amounts to about 100 billion rubles, according to the news report. Gorkov noted that it is unlikely the bank will have to set up additional provisions for the entire Rusal portfolio.
Vnesheconombank also said in its May 10 filing that it plans to set up a $100 million fund with Islamic Development Bank. The fund will adhere to Islamic financing principles and will promote investments into the Russian economy and high-tech projects.
As of May 10, US$1 was equivalent to 61.84 Russian rubles.
