1

November 17, 2011, STOCKHOLM

RUSSIAN-SWEDISH BUSINESS COUNCIL

2

WHO WE ARE

Role and function

Development of priority industries and infrastructure projects

Support for Russian industrial exports

Implementation of Government support measures for Russian companies and financial institutions

Agent for the Russian Government in managing sovereign assets and debt

State Corporation – “Bank for Development and Foreign Economic Affairs

(Vnesheconombank)”

Government ownership

100% owned by the Russian Government, Russian Prime Minister acts as Chairman of the Supervisory Board

“State corporation” status under Russian legislation (one of seven designated entities)

Credit ratings at par with the Sovereign

Equity contributions directly from Federal Budget

34

OUR ROLE

Mission

Ensure Russian economic growth by means of:

Stimulating investments

Infrastructure development

Support for innovative technologies

Support for Russian industrial export

Tasks and goals

Support for projects of national dimension

Support for regional, infrastructure projects and development of high-tech industries

Enhancing Russia’s export capability

Support for import-substitution industries

Areas of focus

Infrastructure and innovative projects

Development of special economic zones

Russian industrial (non-natural resources based) export support

Financial support for small and medium size enterprises (SMEs)

Environment protection

Providing banking support for federal programmes

VEB principles of operation are defined in the Federal Law “On Bank For Development” and Memorandum on Financial policies

44

ACTIVITIES AT A GLANCE

Mission statement

“Ensure Russian economy growth by means of stimulating investment activity, development of infrastructure, support for innovative technologies

and Russian industrial export”

Investment and development

Support for top priority industries

Support for Industrial Exports

Infrastructure Projects / PPP

Support for SMEs

Innovation Projects (Special Economic Zones)

Participation in National Projects

Supporting the Russian financial system

Implementing Government support measures for the Russian corporations and financial institutions

Implementation of the Government’s liquidity provision measures

Agency operations

Management of the Sovereign debt portfolio

Management of the Government’s financial assets

Management of the State Pension Fund’s assets (about 85% market share)

VEB acts as the government agency to facilitate Russia’s economic development and growth

5

RUSSIA-SWEDEN ECONOMIC COOPERATION: KEY FACTS

► In January – July 2011 volume of bilateral trade between Russia and Sweden has increased significantly and reached USD 4.67 billion.

► Trade turnover between Russia and Sweden has been growing steadily over the last 4 years except for the year 2009 when both import and export have been affected badly by the global crisis.

0

1

2

3

4

5

US

D,

bln

.

2005 2006 2007 2008 2009 2010 2011January

- July

Russian Import

Russian Export

RUSSIAN-SWEDISH TURNOVERSource: FEDERAL STATE STATISTIC SERVICE

6

KEY FACTS

► Cumulative Swedish direct and portfolio investments into Russian economy in January – July 2011 is estimated at least at USD 2.59 billion

0

1

2

3

4

5

US

D,

bln

.

2007 2008 2009 2010 January-July2011

INVESTMENTS

SWEDISH INVESTMENTS IN RUSSIA

Source: FEDERAL STATE STATISTIC SERVICE

74

RUSSIAN-SWEDISH BUSINESS COUNCIL

April 27, 2011, Stockholm – in the course of intergovernmental meeting Head of the Government of the Russian Federation Vladimir Putin and the Prime Minister of Sweden Fredrik Reinfeldt agreed to establish Russian-Swedish Business Council

September 6, 2011, Moscow – founding meeting of the Russian Side of Russian-Swedish business council

VEB is forming Russian part of Russian-Swedish Business Council and EricssonEricsson is forming Swedish part of the Business Council

VnesheconombankVnesheconombank

Authorized coordinator of Russian part of Russian-Swedish Business Council

EricssonEricsson

Authorized coordinator of Swedish part of Russian-Swedish Business Council

8

Business Council is co-headed by two co-Chairmen:►From the Russian Side – Vladimir Dmitriev, Chairman of Vnesheconombank►From the Swedish Side – Hans Vestberg, President and CEO of Ericsson

Co-chairmen have executive role and provide overall steering of the business council as well as communicate with Russian and Swedish authorities

Secretariat represented by two offices:►From the Russian Side - Vnesheconombank►From the Swedish Side – Ericsson

Secretariat has coordinating role in the Business Council work, including calling for the regular meetings, handling meetings protocols and performing other administrative tasks

Membership in the Business Council is free of charge

Admission of the new members is after application which is subject to approval of the co-Chairman on the Russian and the Swedish sides accordingly

BUSINESS COUNCIL GOVERNANCE

94

RUSSIAN-SWEDISH BUSINESS COUNCIL

Mission:Russian-Swedish Business Council – a non-governmental, non-profit organization uniting its member around the objectives of growing trade and investment between Russia and Sweden

Vision:Based on business practice of its members Business Council improves Russian-Swedish partnership by cooperating tightly with authorities to facilitate bilateral trade and investment

Members:Russian-Swedish Business Council represents the interests of its members -established large and SME business with trade and/or investment presence either on Swedish or Russian markets and it encompasses all business sectors

10

RUSSIAN MEMBERS OF THE COUNCIL

   

►VNESHECONOMBANK ►CHAMBER OF COMMERCE AND INDUSTRY OF THE RUSSIAN FEDERATION►ROSENERGO►VTB►SBERBANK►THE RUSSIAN TECHNOLOGIES STATE CORPORATION►FESCO►MICEX►RUSNANO►BUILDERS ASSOCIATION OF RUSSIA►SKOLKOVO ►UNITED AIRCRAFT CORPOATION ►UNITED SHIPBUILDING CORPORATION►SHIPING INDUSTRY ASSOCIATION►ALL-RUSSIAN INSUARANCE ASSOCIATION►RUSAL►JSC “SPHERA”►ANGARA PAPER►DON STATE TECHNICAL UNIVERSITY►TATAR ENTERPRISES AND ENTERPRENEURS ASSOSIATION►YOUNG ENERGY PRIZE►BIFAITER►GAZPROMBANK ►RUSSIAN UNION OF INDUSTRIALISTS AND ENTERPRENEURS

114

SWEDISH MEMBERS OF THE COUNCILSWEDISH MEMBERS OF THE COUNCIL

► ERICSSON► IKEA► TELE2► VOLVO Group► Investor AB► TETRA PAK► ORIFLAME► EKN► SCANIA► TELIA SONERA► EAST CAPITAL ► SÖDRA► SCA► VOSTOK NAFTA ► ÅF Group► SAS

124

RUSSIAN-SWEDISH BUSINESS COUNCIL AIMS:

► To expand business contacts and mutually beneficial cooperation between Russian and Swedish business communities;

► To promote Russian business in Sweden and encourage investment to the Russian economy;

► To protect the rights and interests of Russian businessmen dealing with Russian and Swedish official bodies and private enterprises;

► To create constructive dialogue between Russian and Swedish business communities, interested in sustainable and effective development of bilateral business cooperation.

134

RUSSIAN-SWEDISH BUSINESS COUNCIL CORE AREAS OF ACTIVITIES

• Enhanced cooperation in power generation;_________________________________________________________________________

• Increase of Russian hi-tech export to Sweden;_________________________________________________________________________

• Implementation of modern technologies in forestry and timber industry, establishment of advanced wood processing factories in Russia;__________________________________________________________________________

• Broader cooperation in the areas of nature conservation, information and communication technologies, space and nanotechnologies, medical industry and pharmaceutics;__________________________________________________________________________

• Active cooperation in agribusiness and food production;__________________________________________________________________________

• Expansion of cooperation ties in various sectors of economy;__________________________________________________________________________

• Use of Swedish experience in the field of innovative policy, commercialization of modern technologies and respective government-business interaction.

1444

PLANS FOR NEAREST FUTURE

►FINALISING AND SIGNING THE MEMORANDUM OF COOPERATION BETWEEN THE RUSSIAN SIDE AND THE SWEDISH SIDE OF THE RUSSIAN-SWEDISH BUSINESS COUNCIL

►RUSSIAN-SWEDISH PROJECT PIPELINE

►SUPPORT FOR INNOVATIONS, SCIENCE AND BUSINESS EDUCATION IN RUSSIA (EX.: COOPERATION WITH SSE)

►SEMINARS, EXHIBITIONS, ROUND-TABLES, BUSINESS-MISSIONS(EX.: SEMINAR ON WASTE MANAGEMENT, PLANNED FOR FEBRUARY 2012 IN MOSCOW)

15

Thank you !

Contacts:9 Ak. Sakharov Ave., Moscow, Russia

Tel.: +7 (495) 782 94 30Fax: +7 (495) 604 69 46

Email: Suchkov_DI@veb.ru