On measures aimed at improving financial stability of Promsvyazbank PJSC
The Bank of Russia approved the plan of its participation in bankruptcy prevention measures for Promsvyazbank Public Joint-Stock Company (Reg. 3251) (hereinafter referred to as the ‘Bank’).
Measures aimed at improving the Bank’s financial stability and ensuring its continuous activity in the banking services market provide for the participation of the Bank of Russia as an investor using the funds of the Banking Sector Consolidation Fund.
The Bank of Russia will provide the Bank with funds to maintain liquidity, which will increase its financial stability and foster its further development.
In order to perform all necessary measures to support and ensure further development of the Bank’s activity, by order of the Bank of Russia No. OD-3525, dated 15 December 2017, the functions of the provisional administration to manage Promsvyazbank PJSC are assigned to LLC Fund of Banking Sector Consolidation Asset Management Company effective 15 December 2017.
The Bank will continue to operate in the ordinary course, meeting its obligations and conducting further transactions. No moratorium on payments under creditors’ claims is introduced. The Bank of Russia will provide financial support to the Bank and guarantee the continuity of its operations with due regard to its systemic importance.
The Bank ranks 9th by assets among Russian banks (1.3 trillion rubles as of 1 December 2017) and is included in the List of systemically important credit institutions. The Bank has established correspondent relationships with 297 credit institutions; among its 2.73 million clients are legal entities, small and medium enterprises, and households (2.5 million). The Bank has offices in all federal districts.
Joint-stock company AVTOVAZBANK (Reg. No. 23), which is undergoing rehabilitation by the Bank, continues its normal operations and provision of services to clients.
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