For the first time on the Russian market, one of the commercial banks, OJSC Svyaz-Bank, began its activity in 1991. Immediately after the economic crisis in 2008, almost 100% of the shares were transferred to Vnesheconombank. One of the priority areas is working with government agencies, lending and providing retail services. At the moment, having united with the Russian Post, it is increasing the number of branches.
The history of the «Svyaz-Bank»
Before the country’s transition to a market economy, the only financial institution was the State Bank of the Soviet Union. Naturally, under the new conditions, the bank could no longer cope with the task. Therefore, a different way of managing financial resources was required. Thus, it was decided to create such a bank, the main function of which would be to stimulate the development of state-owned enterprises operating in the field of information technology and communications.
In 2005, Svyaz-Bank began to insure household deposits, which contributed to the increase in capital. The year 2008 became a serious test for the financial institution, the collapse of the stock market, greatly shaken the bank’s position. Playing on the stock exchange, only aggravated the situation, the non-return of doubtful loans, turned into a big problem for the bank. The organization’s debt to the state amounted to over 60 billion rubles. In such a situation, many clients in a hurry began to withdraw their assets; among the major investors was the Danish businessman D. Galmond.
Before the crisis period, Svyaz-Bank had more than a hundred branches throughout the country, more than 150,000 people were able to use the organization’s services. Through its structure, payments were made to pensioners. Due to the current situation, the government had to take unprecedented measures, whatever the organization could collapse, the only correct decision was to carry out a reorganization. Thus, OJSC Svyaz-Bank came under the control of Vnesheconombank, becoming its subsidiary. The rehabilitation procedure ended in 2011, at the moment the state corporation owns 95% of the bank’s capital assets.
The financial organization is actively developing, providing clients with a standard set of services. Having merged with the Russian Post, the bank has become one of the largest players on the market.