Russian banks can raise funds in Azerbaijan, Kazakhstan
Besides China, Singapore and other key Asian markets, Russian
banks can also raise funds in Azerbaijan and Kazakhstan, according
to Andrey Kostin, president and chairman of the management board of
Russian bank VTB.
In an interview with Russian news agency ITAR-TASS, during an
international investment forum held in the city of Sochi, Kostin
said the Russian financial institutions began working with the East
much later than with the West.
He said here it is just needed to develop partnerships, to build a
certain basis for this.
"There are also countries like Azerbaijan and Kazakhstan, where it
is possible to work as well, where there is also financial
resource," Kostin said.
He also stressed that Russian banks, particularly VTB, have
perspectives and experience to raise funds in the eastern and Asian
markets.
"We have attracted funds from Qatar and China, we have quite good
experience," Kostin added. "But one must understand that our
eastern partners and financial institutions sometimes cautiously
approach to this issue in general, as they too can become under the
sanctions by the U.S."
However, Kostin said he believes that there will be some financial
success, adding "we will get some funding, but it requires some
work."
He added that in general, the big Asian investors "do not run",
since the Russian financial institutions' reliability, including
that of VTB, still stands at a high level.
VTB Capital, one of the three strategic business arms of VTB Group,
has repeatedly announced its plans to organize the deployment of
Russian and Asian companies in the East.
Andrey Solovyev, the global head of debt capital markets at VTB
Capital, said the VTB Capital can act as an organizer in placement
of Chinese issuer in the market of China.
Between 2011 and 2012, the VTB placed bond issues denominated in
Singaporean dollars, worth about $640 million.
VTB has a subsidiary in Azerbaijan - VTB Bank (Azerbaijan) Open
Joint Stock Company (OJSC). Its shareholders include the VTB and
AtaHolding, an Azerbaijani holding company.
VTB Bank (Azerbaijan) renders services to corporate and small
business clients and private clients.
To date, VTB Bank (Azerbaijan) is represented by ten sales
stations, including the customer service department at the bank's
head office and nine branches.
By late 2016, the bank's branch network will include 20
branches.