OREANDA-NEWS. The Russian regional development bank has become the winner of ten auctions for extending credits in the Nizhniy Novgorod region.

The credits for a period of 1 year will total 3.95 billion rubles. The borrowed funds are planned to be used for funding the deficit of the regional budget and repaying government liabilities of the Nizhniy Novgorod region. The credit agreements between RRDB and the administration of the Nizhniy Novgorod region will be signed by the end of August.

"The Nizhniy Novgorod region already has the experience of cooperation with RRDB. In 2011-2012 the bank extended two credit facilities to the Ministry of Finance of the Nizhniy Novgorod region for a total of 1 billion rubles," the acting Minister of Finance of the Nizhniy Novgorod region Olga Sulima said. "We hope that this time our cooperation with RRDB will be no less successful. All the more so as the basic purpose for which the money provided under the credit contracts concluded with RRDB will be the funding of the regional budget deficit".

RRDB finances administrations and municipalities of the Russian Federation within the framework of the strategy of support of the country regions. The borrowed funds offer an additional opportunity for the regions to finance the expenses provided by the law on the budget.