Sberbank began lending to companies in yuan, VTB is considering such an opportunity

Sberbank is starting to lend to companies in yuan, there is “a fairly large demand for this,” said Alexander Vedyakhin, first deputy chairman of the bank’s board. According to him, in the future, lending in Indian rupees is also possible, since these are the two main major currencies on which the bank “emphasizes.” The head of VTB Andrey Kostin said that the possibility of issuing loans in yuan to legal entities is being considered.

“We are already starting lending in yuan… We are actively working with the Indian rupee, but so far there is no active demand for such loans, but if it appears, we are also ready to provide,” said Mr. Vedyakhin at the Eastern Economic Forum (quoted from TASS).

According to Mr. Kostin, the bank is currently working on 11 projects of lending programs in the amount equivalent to about 450 billion rubles. “This request is mainly in yuan, of course,” he said.

Sberbank is also considering issuing bonds denominated in yuan. “We are watching the market, we think it will be autumn-winter, when Sber will enter the debt market, and, in addition to traditional instruments, I think we will also be ready to place obligations in yuan,” said the first deputy chairman of the board of the bank.

In July, the Central Bank recorded a decrease in foreign currency loan portfolios by Russian banks against the backdrop of devaluation of balance sheets. The reduction mainly affected corporate loans in dollars and euros. At the same time, potential interest in lending in the currencies of friendly countries faces the problem of long-term funding.

Details – in the material “Kommersant” “Currency is not friendly with balance sheets”.

Laura Keffer