VEB.RF’s Deputy Chairman – Member of the Management Board Alexey Miroshnichenko spoke at a meeting of the Shanghai Cooperation Organisation Interbanking Association Council. The meeting took place in Cholpon-Ata on the shore of Lake Issyk-Kul in Kyrgyzstan. The meeting brought together representatives of the leading finance organisations, members of the SCO IBA: the China Development Bank, the Development Bank of Kazakhstan, the RSK Bank of Kyrgyzstan, the Amonatbonk State Savings Bank of Tajikistan, the National Bank for Foreign Economic Activity of the Republic of Uzbekistan, Habib Bank Limited (Pakistan).

In his speech, Alexey Miroshnichenko highlighted the role of the development institutions in enhancement of SCO cooperation. The IMF’s forecast envisages that the SCO economies will account for 40% of the gross world product (GWP) in the next five years. “The development banks around this table have the best positions to bring about this breakthrough in terms of financing and expertise,” VEB.RF’s Deputy Chairman said.

The head of VEB.RF’s delegation highlighted the goal of using national currencies for settlements and loan facilities. “The volume of mutual trade between the SOC states is tangible which means that there is a significant potential for settlements in national currencies. It will result in a decrease of financial and operational risks as the entire settlements infrastructure is located within the member states. Not only trade, but also loan facilities could be and should be translated into national currencies,” Alexey Miroshnichenko said highlighting VEB.RF’s experience in raising RMB-denominated loans.

In his speech, VEB.RF's representative also noted the importance of infrastructure construction. “The joint development of international transport corridors by the SCO member states will make it possible to establish new cooperation ties and contribute to economic integration. In this regard, it is important to raise investments in the development of infrastructure. VEB.RF has extensive experience of implementation of large-scale infrastructure projects such as motorways, terminals, airports,” he said.

Alexey Miroshnichenko informed the meeting on VEB.RF’s participation in the Project Financing Factory program and the development institutions’ urban economy effort. He called upon the members to intensify urban economy development cooperation within the SCO IBA, as it will result in scaling of the best models and solutions. “We are ready to share our approaches to development of main urban services: transport, ‘smart city’, social infrastructure, and public utilities,” he noted.

The SCO IBA meeting approved a new member. India Infrastructure Finance Company joined the IBA.

The State Development Corporation VEB.RF will assume the presidency of the Shanghai Cooperation Organisation Interbanking Association this October.