Vnesheconombank, KfW IPEX-Bank GmbH and Government of Tatarstan have signed Memorandum of mutual understanding

Within the framework of a Forum «Development of small and middle entrepreneurship in conditions of financial crisis» State corporation «Bank of development and foreign trade activities” (Vnesheconombank), German bank group KfW IPEX-Bank GmbH (KfW) and the Government of Republic Tatarstan have concluded a Memorandum of mutual understanding.

The memorandum was signed by deputy chairman of the Vnesheconombank Mikhail Kopeikin, head of representation of State corporation KfW Daniil Aguljan and chairman of RT Committee on development of small and middle entrepreneurship Timur Shagivaleev.

The purpose of a Memorandum is development of cooperation in sphere of implementing the projects in the field of supporting small and middle business in Republic Tatarstan.

As the first joint project, the parties consider cooperation in sphere of developing leasing for support of MSP in Republic Tatarstan.

Within the limits of the project it is stipulated granting by KfW IPEX-Bank GmbH the credits to affiliated banks of the Vnesheconombank, under a guarantee from the Vnesheconombnk which will finance in turn the leasing companies with the purpose of purchase by them of German agricultural and other equipment for granting in leasing to subjects of small and middle business in Republic Tatarstan. A condition of participation of the Vnesheconombank in realization of the project is co-financing by the Government of Republic Tatarstan of leasing projects of subjects of small and middle entrepreneurship.

The memorandum has been signed in developing of the concluded in July, 2009 of the Frame credit agreement providing granting KfW IPEX-Bank GmbH of credit resources to the Vnesheconombank in a total sum of 500 million of euro under an insurance covering of export credit agencies.

Delivery of modern German hi-tech industrial lines in view of financing from Deutsche Bank will allow to carry out process of modernization of small industrial business in Republic Tatarstan. At the first stage 55 projects by total cost 50 million euro will be financed. The given tool will allow to provide access to long money since terms of credits will make 5-7 years.

The program will start from the beginning of next year.