Russia's state-owned development lender, Vnesheconombank, finally approved its strategy until 2021, under which it wants to support the Russian economy, stimulate innovations and swing to profit in 2018, Kommersant reported Dec. 22.
2017 will be a year of asset restructuring and transformation for VEB, the news report noted, citing Russian prime minister and VEB's supervisory board head, Dmitry Medvedev. The bank will reportedly restructure its distressed assets and divest noncore businesses, including banking units in Russia and Ukraine.
Russia will continue to financially support the bank through direct subsidies and assistance in attracting long-term financing, with 150 billion Russian rubles earmarked for the bank in 2017, Kommersant said.
VEB reported an IFRS net loss of 86.2 billion rubles for the first nine months of 2016, down from a 133 billion-ruble loss one year ago.
As of Dec. 21, US$1 was equivalent to 61.13 Russian rubles.