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VTB CEO not expecting problems in Russian banking sector

Andrey Kostin underlines that sanctions have increased the financial sovereignty of Russia, while ruining the global trade system and leading to a rise in inflation

MOSCOW, July 11. /TASS/. The Russian banking sector is on solid ground despite sanctions and no problems are expected, Chief Executive Officer of VTB Andrey Kostin said at a meeting with President Vladimir Putin.

"Our banking sector feels secure. I do not think any problems will occur although we certainly sustained some losses last year because our property was essentially taken away from us," Kostin said.

Sanctions have only increased the financial sovereignty of Russia, the banker said. "Look at what is happening in the United States now: they are experiencing the largest financial banking crisis since 2008 and it is already spreading to Europe. This is exactly what we talked about earlier, that sanctions are double-edged. That is why sanctions applied by the West against Russia essentially ruined the global trade system and led to a rise in inflation, while attempts by the West to resolve it by conventional methods resulted in the depreciation of banking assets, and as a result we have what we have," Kostin noted.

VTB is now proactively dealing with creating a new infrastructure for payments in rubles and in currencies of friendly countries, the chief executive said. "We have the expertise and the infrastructure to do so, because we are present in the largest Asian countries, such as China and India, and we are present in CIS countries. Therefore, proactive efforts are underway on this basis," he added.

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