AvtoVAZ is expected to soon receive RUB28bn ($US965m) from industrial conglomerate Rostekhnologii, one of its shareholders, according to deputy economic development minister Andrei Klepach.

AvtoVAZ could receive the funds by the end of this week, he told Prime-Tass.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

The Russian government recently approved AvtoVAZ’s business plan up to 2020, which was one of the conditions to receive RUB28bn provided through Rostekhnologii, according to earlier reports. The government transferred the full amount to Rostekhnologii in March.

AvtoVAZ is expected to spend the funds to settle its debts to banks, while banks are in turn expected to provide long-term loans to the carmaker for modernisation, Klepach said.

Banks have already signed a memorandum to finance AvtoVAZ’s investment programme for at least this amount, he added, without naming the banks or providing any further details.

GlobalData Strategic Intelligence

US Tariffs are shifting - will you react or anticipate?

Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.

By GlobalData

Just Auto Excellence Awards - Have you nominated?

Nominations are now open for the prestigious Just Auto Excellence Awards - one of the industry's most recognised programmes celebrating innovation, leadership, and impact. This is your chance to showcase your achievements, highlight industry advancements, and gain global recognition. Don't miss the opportunity to be honoured among the best - submit your nomination today!

Nominate Now