Sberbank of Russia

05/13/2021 | Press release | Distributed by Public on 05/13/2021 07:18

Sber and VEB.RF modernize public transport in Tver Region

Sber and VEB.RF have closed a deal to finance the delivery of buses to Tver Region. Sberbank. Sberbank provided the Verkhnevolzhskoye motor transport company with a leaseback and a bank guarantee under public contracts, allowing the region's major motor carrier to fully regularize its RUB 2.66 bn in arrears due to VEB.RF.

As part of the transport project, Sber equipped the region's buses with a cashless automatic payment system for transport fees when there is no conductor on board. The system allows clients to connect their bank card to all of their transport passes and pay fares with their Mir card under preferential conditions for people with travel concessions through Social ID technology.

The new public transport model was launched on February 3, 2020. Within a year, bank cards became the main method of payment on public transport in Tver, with 75% of passengers preferring to use their bank cards to pay and 25% using their transport cards or cash.

These are record figures for Russia. Users can link their travel pass to their bank card or add funds to their electronic wallet at any Sberbank ATM or terminal and via the SberBank Online app.

Sber has a history of successfully helping regions modernize their passenger transport systems. Our credit portfolio in the transport sector currently amounts to approximately RUB 1 tn. In 2020, we provided over RUB 26 bn in financing for public transport projects. Sber is also providing RUB 6.8 bn in funds for a major delivery of buses to Kemerovo. We are not only financing projects, we are also introducing cutting-edge technologies for passenger comfort and for the optimization of the sector. We plan to scale up the experience we gained in Tver implementing these innovative digital solutions and new approaches to financing and apply it in other regions of the country.

Anatoly Popov

Deputy Chairman of the Executive Board, Sberbank

This is an example of how we advance our partnership with Sber, our ally in multiple large-scale investment projects and close partner in the Project Finance Factory. Having performed its function as a development institution in Tver where we took on the initial risks, VEB is already scaling this valuable experience up in other parts of Russia, which is aligned with our comprehensive development approach to cities. As for Tver Region, we keep working and are now designing the next stage, i.e. scaling the model across other municipalities of the region and upgrading Tver's tram network.

Oleg Govorun

Deputy Chairman and Member of the Management Board, VEB.RF

The carrier is leasing the rolling stock being used in the new passenger transportation model in Tver Region. VEB.RF has supported and assisted us when signing the deal. Then, Sberbank offered the carrier of the new transport model a leaseback option and a bank guarantee under a government contract.

The partnership with VEB.RF and Sberbank has helped us complete some major projects, like the update of our rolling stock and installation of non-cash fare payment systems in all vehicles. This is more than just a contemporary and convenient payment option. It's also as secure for passengers as it can get. We're thankful to our colleagues for this fruitful partnership.

Aleksandr Sovetnikov

CEO, Movista Regiony