VTB Group said on Tuesday that it would reduce interest rates on state-subsidized mortgages to 12 percent.

This change is in line with recent decisions made by the Russian Federation's Commission on Economic Development and Integration. The banking group said the move will help energize the housing sector and reinvigorate economic development in general.

Earlier reports from the group said growth in assets and income from commissions, fees and interest grew in 2014, attributed partially to governmental support, allowing VTB to grow despite the nation's troubled economic climate.

VTB Group has an economic presence throughout the Commonwealth of Independent States and in Europe, with subsidiaries in Armenia, Georgia, France, Germany and Austria.