The Central Bank will inject 130 billion rubles into the Moscow Industrial Bank

The Central Bank will allocate 128.7 billion rubles for the rehabilitation of the Moscow Industrial Bank as part of preventing its bankruptcy, the regulator said in its press release . The Central Bank will buy an additional issue of shares of the bank and become the owner of 99.9% of its ordinary shares.

Previously, the Central Bank estimated the costs of reorganizing the bank much lower. The hole in his capital was estimated at 60-100 billion rubles.

• The Central Bank decided to reorganize MInBank in January 2019. Its largest shareholder and president, a former employee of the Soviet Stroybank and Agroprombank, Abubakar Arsamakov, tried to save the bank or find new shareholders for it, but was unable to. The Central Bank did not find any criminality in his actions.
• According to reports, in the first quarter MInBank had negative capital of 54.3 billion rubles, and the loss amounted to 66 billion rubles.
• The bank has already received funds from the Central Bank: a deposit of 37.5 billion rubles. at a rate of 0.5% per annum until March 2020.
• Despite the almost continuous injection of funds by the Central Bank for the rehabilitation of banks, almost 130 billion rubles is a significant amount. In 2018, the regulator allocated 565.8 billion rubles for the rehabilitation of 8 banks.