OREANDA-NEWS. Vnesheconombank and KfW Banking Group signed a Memorandum of Understanding on setting up a Joint Selection Panel on Selecting an Investment Manager for an International Fund to Support Entrepreneurial Activity in Russia. A signing ceremony was held in the city of Berlin in the course of a meeting of the Russian-German Strategic Working Group on Cooperation in the Field of Economics and Finance.

On behalf of Vnesheconombank Group the Memorandum was signed by Deputy Chairman – Vnesheconombank Board Member Mikhail Kopeikin, on behalf of KfW Banking Group –Director of Department for Eastern Europe, Caucasus and Central Asia Cherifa Larabi. 

The Memorandum lays down the procedure for forming the panel, its composition, criteria for selecting an investment manager, basic requirements for facilities to be funded worked out in line with the approved concept for establishing the said Fund.

The panel is to analyze and evaluate applications from applicants and submit its proposals to Vnesheconombank’s Board and corporate governance bodies of KfW Banking Group for selecting an investment manager.

Memorandum of Understanding on the Establishment of an International Fund to Support Entrepreneurial Activity was concluded between Vnesheconombank and KfW in the course of Russian-German summit interstate consultations in November of 2012. A decision to establish the Fund was approved by Vnesheconombank’s Supervisory Board in October of 2012.

Vnesheconombank and KfW intend to contribute 150 million US dollars each to the Fund. The Fund’s amount is expected to reach 900 million US dollars by 2016 through raising funds from other institutional investors.