Recovery of Debts on Credits, Received at the Expense of Centralized Funds, from Russian Borrowers
Vnesheconombank is a leader in settling Soviet-era domestic currency-denominated debt to resident legal entities of the Russian Federation.
Vnesheconombank’s Custody Department is a depository authorized by the Russian Government for OVGVZs of all tranches and a head depository for the 1999 OGVZs, an agent for the Russian Finance Ministry responsible for repaying the said bonds and paying coupon interest on them.
Acting as an agent for managing government domestic currency-denominated debt Vnesheconombank is responsible for:
- reconciling balances in customers’ blocked accounts and exchanging them for OVGVZs;
- getting companies and organizations to make payments to the Russian Finance Ministry and Vnesheconombank;
- registering , safekeeping and releasing OVGVs to its customers;
- conducting expert’s examination of OVGVZs and the 1999 OGVZs and transactions in them in the secondary bond market;
- consulting customers on Soviet-era domestic currency-denominated debt to non-residents of the Russian Federation;
- reconciling accounts and signing liquidating balances over transactions conducted by Vnesheconombank’s former organizations on the territory of CIS countries and the Baltic States with duly authorized organizations of these countries;
- assisting authorized organizations in the CIS and Baltic States that waived their claims to the Russian Federation for Soviet-era domestic currency-denominated debt and assumed responsibility for settling this debt to their residents in reconciling and transferring appropriate amounts of domestic currency-denominated debt for registration.