Russia’s DIA sees no more money for Bank Trust’s bailout

MOSCOW, Mar 31 (PRIME) -- No additional money will be allocated on bailout of Russia’s Bank Trust, but the Deposit Insurance Agency (DIA) may help the bailout manager with changes in parameters of the already issued loan, DIA’s General Director Yury Isayev told reporters Thursday.

“The baseline bailout scenario, which was approved, includes closed covenants. And these covenants will grant us a chance to request additional financing when they play. The maximum amount has been defined (and already granted), and we have a feeling that we will not grant additional financing in a direct form, in the form of additional money,” he said.

“But in a ‘lopsided’ way we have a possibility to change redemption dates of some part of money or rates. This issue still exists and is under discussion,” he added.

But a banking source told reporters that the central bank is discussing another bailout tender for the recovery of Bank Trust.

In late 2014, the central bank decided to bail out Bank Trust, one of Russia’s 30 largest banks by assets, and chose Otkritie Financial Corporation (FC) Bank to do it. Initially, Otkritie FC Bank received a 127 billion ruble loan from the DIA, but in late 2015 the bank requested additional 50 billion rubles.

(67.6076 rubles – U.S. $1)

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