Sberbank of Russia encouraged to invest in major projects in Belarus

Aleksandr Lukashenko said: “Just like in Soviet times we would like to compile a list of innovative installations we have to commission as part of the new five-year plan. And we should definitely come to terms on financing to avoid protracting the construction process. I would like to discuss a number of these projects with you. If Sberbank is ready to participate in this great endeavor, I will be only happy to welcome your financing of great volumes of our economy.”

Aleksandr Lukashenko noted that five pandemics at once have converged on Belarus and are affecting the country one way or another. He noted that everything began with a hydrocarbon “pandemic”. It was followed by a healthcare pandemic, which was then complicated by a political pandemic, an economic one, and a mass media pandemic. “This is why we are rolling in these pandemics all the time. Certainly, politics is having the greatest effect on us. You know it perfectly well,” the head of state said.

He stressed he was pleased to see Herman Gref in Minsk on Independence Day as a man, who is not indifferent to Belarus' development. “I very often think about our relations and am starting to wonder how it happened that people with comparatively different views, not really political ones but possibly economic views could become so close and can even be friends. This is why, truth be told, I am glad about our relations,” the Belarusian leader noted.

“Since the matter of banking has emerged out of the blue, I am starting to compare things. I talked about it publicly the other day. I mentioned that there are Russian banks in Belarus that work honestly and properly,” the head of state stated.

In particular, Aleksandr Lukashenko mentioned vigorous work of Sberbank of Russia in Belarus. The bank has a large portfolio of credit agreements and participates in various projects.

The president added that during such meetings Herman Gref always talks about new and promising things, which are assimilated in Belarus later on. The head of state described the new fountain in Minsk – a gift from Sberbank of Russia on the occasion of Independence Day – as one of the innovative projects that had already been implemented. “We've already seen it in test mode. Those, who have seen it, like it very much. It truly embellishes our country. I am deeply grateful to you for it.”

In turn, Herman Gref stressed he was pleased to be in Minsk on that day. “We organized a Sberbankiada here last year. Over 2,500 participants arrived. You and I agreed one year ago that we will open the fountain here on 3 July,” he noted.

The Sberbank CEO added that the fountain is truly an innovative installation. “It is the first fountain of the kind. We've gifted fountains built in squares to many Russian cities but we've never built a fountain on water. It seems to us it turned out grandiose. I've seen a record of the fountain in operation. I would very much like to see it live today. It seems to me it will definitely be a gift from you and I to residents of Minsk and residents of Belarus. We see strong feedback,” Herman Gref said.

PAO Sberbank of Russia is a leading global financial institution. These days it is also a major technological company of the Russian Federation. Sberbank accounts for about one third of the assets of the Russian banking industry. The bank is a key moneylender to the Russian economy with the largest share on the deposit market.

Sberbank Group's overseas chain includes subsidiary banks, branches, and representative offices in 17 countries across the globe. Apart from the CIS states Sberbank is represented in Central and Eastern Europe. The bank has representative offices in Germany and China, a branch in India.

In Belarus the Russian bank is represented by OAO BPS-Sberbank. PAO Sberbank owns 98.43% of the Belarusian bank's stock. BPS-Sberbank is a top 5 bank in Belarus in terms of the size of its assets. Its net profit totaled Br107.2 million in 2019 in line with the national financial reporting standards, with the return on capital at 15.8%.