VTB issues loan to Belarus

VTB issues loan to Belarus

Published: June 27, 2014

US$2bn short-term loan will help what IMF calls “large financing needs”.

Russia's VTB has extended a short-term loan of US$2bn to the government of Belarus.

A statement from the Russian bank says the deal is part of efforts by the lender and borrower to “develop their working relationship”.

The IMF's most recent report on Belarus's finances notes that the country's current account deficit stood at 10% of GDP as of late April. “With high external debt payments this year, financing needs are large,” the fund's analysts wrote. “At the same time, prospects for foreign financing remain uncertain and international reserves have declined.”