BSTDB Provides First Local Currency Loan in Russia

Press Release | 22-Jun-2017

The Black Sea Trade and Development Bank (BSTDB) is responding to the market demand from private small and medium-sized enterprises (SMEs) in Russia by offering financing in the local currency. BSTDB extends its first Ruble-denominated 1 billion loan to Center-Invest Bank (CIB). The proceeds of the loan will be used by CIB to support the development and expansion of SME businesses in Southern Russia. BSTDB is facilitating access to affordable financing for Russian SMEs, thus stimulating entrepreneurship and economic growth.

“BSTDB is actively developing the much-needed local currency financing in member countries, including Russia. We are happy to provide our first facility in Rubles to the long-term partner Center-Invest Bank, which is based and operating in our priority Russian southern regions on the Black Sea shores. This new facility will mitigate foreign exchange risks for Center-Invest Bank and help increase funding for local businesses in the local currency”, said BSTDB President Delikanli.

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Founded in 1992, Center-Invest Bank (CIB) is a leading local private bank based in the city of Rostov-on-Don in Southern Russia. CIB’s business is concentrated in the region of Rostov-on-Don and neighboring southern regions of Russia focusing on agriculture, manufacturing, transportation sectors. The Bank is ranked among Top15 Russian banks on SME lending. With 132 branches and sub-branches in the south of Russia region, it provides a wide range of modern banking services and products for business and retail customers. CIB is majority owned by Russian private shareholders and by EBRD, DEG, and Erste Group (Austria). The Bank has total assets of RUB 96.6 billion (as at 1 January 2017) and has a market share of 82% in lending and 85% in retail deposits in Rostov region among local banks. CIB is rated Ba3 long-term by Moody’s, with a stable outlook.

The Black Sea Trade and Development Bank (BSTDB) is an international financial institution established by Albania, Armenia, Azerbaijan, Bulgaria, Georgia, Greece, Moldova, Romania, Russia, Türkiye, and Ukraine. The BSTDB headquarters are in Thessaloniki, Greece. BSTDB supports economic development and regional cooperation by providing loans, credit lines, equity and guarantees for projects and trade financing in the public and private sectors in its member countries. The authorized capital of the Bank is EUR 3.45 billion. BSTDB is rated long-term “A-” by Standard and Poor’s and “A2” by Moody’s. For information on BSTDB, visit www.bstdb.org.

Press contact:
Haroula Christodoulou
Phone: +30 2310 290533
E-mail: cchristodoulou@bstdb.org