VTB received the approval of the ECB on restructuring business in Europe

© RIA Novosti / Maxim to Aminopherase in fotomonster VTB Bank. Archival photoVTB received the approval of the ECB on restructuring business in Europe© RIA Novosti / Maxim to Aminopherase the image Bank

VTB group, the leading business abroad, received the approval of the European Central Bank (ECB) on the reorganization of European business, which will reduce the costs of the Bank for 90 million euros, said in an interview with RIA Novosti, the head of VTB Andrey Kostin.

«Since the current situation is quite unfavorable, we have decided on the restructuring of the business in Europe. It will not lead to a deterioration of our business, but seriously — about a third — will reduce our costs, and it is about 90 million euros,» — said Kostin.

«We applied a new scheme that exists today in the European Union, has already received the approval of the European Central Bank. It is a single license, used to have three licenses for each country. We worked in France, we worked in Austria, we worked in Germany. Now, given the increasing importance of Frankfurt as a result of Britain’s withdrawal from the EU, we believe that we have a centre with a single license must be in Frankfurt that does not exclude the possibility to work throughout the European Union», — said a top Manager.

However, he noted that the original plans of the group to reduce 20-30% of the employees working in Europe are preserved. «The process is. There are appropriate legal procedures, how to do it. We work there about 350 people, will be cut and boost productivity», — said Kostin.

According to him, VTB has always focused on the Russian clients who work in Europe, lending to the Russian exporters and investors, including in Euro. «And we will continue this work», — he said.

In mid-January, Kostin said that the Bank decided to combine its European subsidiaries in Germany, France and Austria under one license with the headquarters in Frankfurt. Unification would take place in 2017.

Despite the fact that the Brexit process would be painful for VTB larger impacts no noted Kostin in June at SPIEF. VTB, according to him, never expected serious competition abroad with the banks of global scale, like JP Morgan or Citibank.

Read the full interview with Andrey Kostin, >>