Vneshtorgbank is using its acquisition of Guta Bank to build up its retail services, planning more branches and aiming for a leading role in the mortgage market. By Brian Caplen.
Russian state-owned Vneshtorgbank is pushing ahead on the retail front, aiming to claim an 8%-10% share of the market by 2010. During that period, total assets are expected to rise from $15bn to $35bn, including a forecast rise in mortgages from $150m to $2bn and in consumer lending from $300m to $3bn.

Ukraine and Russia will be in the EU within the next 15 years, argue Peter Schwartz and Chris Coldewey, with Ukraine in pole position.

Raiffeisen International has been highly successful in entering new markets in central and eastern Europe and it now has plans for dramatic organic growth in Russia, CEO Herbert Stepic tells Stephen Timewell.

Following a year of ups and downs in the Russian economy, The Banker’s conference on May 11 attracted a good crowd, interested in the latest developments, reports Gerry O’Kane.

In recent years, there has been a rapid increase in consumer lending. At the same time, despite high average annual growth rates in this segment for the past three years (48%-50%), the market is set to expand further. The retail loans/GDP ratio is not more than 3% compared with 74% in the US, 52% in the EU and an average of 20% in the developing countries.

Rumours of mounting bad debt problems in retail banking have led Russia to pass a law allowing credit bureaux to set up – but their proliferation is getting out of hand. Ben Aris reports from Moscow.

Though it is aiding the general clean-up, deposit insurance is unlikely to change the face of Russia’s banking sector any time soon.

Russia’s banks have been working to boost their reputation on the international capital markets. Ben Aris reports on how their bonds have surged in popularity.

Gazprombank has broken away from giant parent Gazprom to diversify and build on its foundations, its chief financial officer Alexander Sobol tells Ben Aris.

Mortgages could be the next big thing in Russia if the retail banks and the Kremlin have their way.