Russian Agricultural Bank (russian: Россельхозбанк) (RusAg) is a 100% state-owned bank regulated by the
Bank of Russia
The Central Bank of the Russian Federation (CBR; ), doing business as the Bank of Russia (russian: Банк России}), is the central bank of the Russian Federation. The bank was established on July 13, 1990. The predecessor of the bank can ...
. RusAg is providing lending support to Russian agribusiness.
History
Modern agribusiness production systems are capital intensive. A large portion of capital used in agribusiness is borrowed. The agrarian credit system in Russia goes back to 1882 when the first specialized banks –‘Peasant Land Bank’ and ‘Gentry Land Bank’ – were established. During the Soviet period, about 90% of all long-term loans were extended to agribusiness.
Russian Agricultural Bank (RusAg) was set up on March 15, 2000 under the special Decree of the Acting President of the Russian Federation
Vladimir Putin
Vladimir Vladimirovich Putin; (born 7 October 1952) is a Russian politician and former intelligence officer who holds the office of president of Russia. Putin has served continuously as president or prime minister since 1999: as prime min ...
with the mission to be the conductor of the state credit and financial policy in the agribusiness sector, to facilitate a strong performance by clients, to invest in the core businesses and technology and to be the basis of the national credit and financial system of agribusiness in the Russian Federation.
100% of RusAg’s shares are controlled by the Russian Federation acting through the Federal Agency for Managing State Property which holds the Bank’s issued and outstanding ordinary shares (78.66% from total share capital (31 December 2018: 77.11% from total share capital)), the Ministry of Finance of the Russian Federation which holds the Bank’s issued and outstanding preference shares (5.69% from total share capital (31 December 2018: 6.1% from total share capital)) and the State Corporation “Deposit Insurance Agency” which holds the Bank’s issued and outstanding preference shares (15.65% from total share capital (31 December 2018: 16.79% from total share capital)).
Sanctions
On February 24, 2022, US President
Joe Biden imposed
economic sanctions
Economic sanctions are commercial and financial penalties applied by one or more countries against a targeted self-governing state, group, or individual. Economic sanctions are not necessarily imposed because of economic circumstances—they ma ...
on RusAg and other Russian financial institutions in response to Russia's
invasion
An invasion is a Offensive (military), military offensive in which large numbers of combatants of one geopolitics, geopolitical Legal entity, entity aggressively enter territory (country subdivision), territory owned by another such entity, gen ...
of
Ukraine
Ukraine ( uk, Україна, Ukraïna, ) is a country in Eastern Europe. It is the second-largest European country after Russia, which it borders to the east and northeast. Ukraine covers approximately . Prior to the ongoing Russian inv ...
.
References
External links
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Annual report 2019Meeting with Rosselkhozbank (Russian Agricultural Bank) Board Chairman Boris ListovRussian Agricultural Bank from Moscow, Russia is ranked in the Top 1000 World Banks by Tier 1 2020Russian Agricultural Bank shrugs off crisis thanks to specialist focusRussian Agricultural Bank to get $137 million capital injection
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Banks of Russia
Russian brands
Companies based in Moscow
Banks established in 2000
Russian companies established in 2000
Government-owned companies of Russia
Russian entities subject to the U.S. Department of the Treasury sanctions
Government-owned banks