Russia’s Promsvyazbank (PSB) has begun to offer consumer loans in the Lugansk and Donetsk People’s Republics, the PSB press service reported.
“On November 15, 2022, PSB launched consumer lending in the Donetsk and Lugansk People’s Republics improving the availability of the most needed banking services in new regions and expanding financial opportunities for the population in meeting current needs,” the report said.
The offer is available for Donbass residents who have Russian citizenship and are on the payroll card program run by PSB or DPR Central Republican Bank and LPR State Bank. These clients can apply for consumer loans with a payback period of up to five years at any PSB office.
“PSB plans to steadily expand the range of products and services for businesses and population, and scale up consumer lending in the new regions,” the Bank said. "The launching of consumer lending is a new step in the socio-economic development of the new regions as it raises the quality of life and helps develop modern financial infrastructure at the level of best Russian standards."
Consumer loans add to the range of services provided in the new regions such as opening of current and savings accounts and deposits, issue of bank cards, daily banking for clients etc., PSB said.
LPR Head Leonid Pasechnik said at a meeting with PSB chairman Pyotr Fradkov in June 2022 that the Bank would begin to work in the Republic. On June 4, the LPR parliament unanimously approved the law on the operation of the Promsvyazbank public joint-stock company in the LPR territory.” *i*ie
