Siluanov estimates assistance for VEB at 150 bln rubles in 2017, same as in 2016
MOSCOW. May 26 (Interfax) - The Russian Finance Ministry estimates the amount of assistance for Vnesheconombank (VEB) in 2017 at 150 billion rubles.
"As much as in the current year, 150 billion rubles," Finance Minister Anton Siluanov told journalists.
VEB, which does not have the ability to refinance external debt owing to sanctions, encountered serious financial difficulties last year. It has received state assistance in several forms since the beginning of 2016: conversion of FX deposits from the National Welfare Fund (NWF) on preferential terms, subsidies from the budget totaling 73.8 billion rubles [out of 150 billion rubles earmarked for the purpose], 270-day deposits from the Federal Treasury amounting to 100 billion rubles [placed in February and March; interest at the Central Bank's key rate].
Plans are for VEB to sell its most liquid asset in the near future: 3.6% of shares in Gazprom , which are to be purchased by companies in the Gazprom group. VEB acquired the bulk of the stake in 2010-2011 from E.ON, when prices were substantially higher than they are now, meaning that VEB would have to recognize a loss from their sale. The government will cover the loss, the newspaper Kommersant reported, citing sources: VEB is requesting 360 billion rubles in recapitalization, which includes money needed to repay foreign debts.
