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Sunday, August 25, 2019

Irkutsk Region Road Service receives financing from VTB Bank

Russia's VTB Bank announced on Wednesday that it extended a $25 million, three-year documentary credit line to the Irkutsk Region Road Service.

The money will be used to finance operations, secure commitments under state contracts and allocate tender fees.

IRRS and VTB signed a master agreement for $20 million of VTB guarantees for the company's commitments under state road upkeep, maintenance and construction contracts in the Angara region.

"Roads are, without exaggeration, vitally important infrastructure elements, particularly in such a big country as Russia," Mikhail Oseevskiy, the deputy president and chairman of VTB, said. "It is for this reason that cooperation between VTB Bank and the Irkutsk Region Road Service will serve to develop the economic potential of the Angara region and improve the quality of life of each person in the region."

The IRRS is responsible for a total of 150 miles of federal roads and 7,000 miles of regional roads.

"To be successful, any commercial business should have reliable partners," Radik Farazutdinov, the director general of IRRS, said. "A bank that is ready to support a business will always develop, as will its client. I am sure that our cooperation with VTB will be long-term and mutually beneficial."