Sverdlovsk Region Finance Ministry borrows 500m RUR from Zapsibkombank

16 March 2015 (09:21)

March 16, 2015. Sverdlovsk Region Finance Ministry took out a 500m-ruble loan from Tyumen-based Zapsibkombank, the bank’s official statement goes.

The money will be used either partially to finance the local budget deficit or to pay off Sverdlovsk Region’s debts. According to the statement, the bank has been cooperating with Sverdlovsk Region Government for two years now.

The government actually issued a decree allowing the local ministries to borrow over 35bn RUR from banks this year.

Finance Minister Galina Kulachenko explains the loans will be used to cover the budget deficit and pay off debts. In fact, Sverdlovsk Region’s debt rose by 47% by the end of 2014 and amounted to 49.6bn RUR on January 1, 2015. Budget deficit comes to 29bn RUR.

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