Russian bank VTB to lend Essar Group USD 1 billion

Russian bank VTB will open a $1 billion credit line to Essar Group, chief executive Andrei Kostin said on Thursday during a visit to New Delhi by President Vladimir Putin.

Kostin also said that VTB would not ask for more than 250 billion roubles ($4.6 billion) in financial assistance from a government rainy-day fund called the National Wealth Fund.

Russian banks have faced difficulties in refinancing due to Western sanctions.

Kostin said that state-controlled VTB has no plans to leave the London Stock Exchange, where its shares are listed.