PSB stands ready to support efforts aimed at strengthening the economic stability of the North Caucasus regions and unlocking their investment potential. This commitment was outlined during the Caucasian Investment Fair in Mineralnye Vody, where PSB’s head Petr Fradkov highlighted the bank’s stance in the press release.
During the plenary session on the topic “The economic potential of the North Caucasus Federal District,” and within the conference titled “The Role of Investments in the Development of the Macro-Region” held at the fair, PSB’s president evaluated how small and medium-sized enterprises can grow in the North Caucasus Federal District.
He pointed out that the regions are creating favorable conditions for business development, supported by state assistance measures, and that many entrepreneurs are eager to launch and expand their activities. Yet a key obstacle remains the relatively underdeveloped banking infrastructure, coupled with limited access to finance and a need for greater financial literacy among customers.
Fradkov stressed that PSB is prepared to actively participate in removing these barriers to strengthen the district’s economic resilience and to unleash its investment potential.
It was recalled that PSB has tracked the sentiment of small and medium enterprises for several years. This segment has consistently shown itself to be the most telling indicator of evolving business conditions. In the first quarter, the RSBI index for the North Caucasus Federal District stood at 53.4 points, versus 51.1 across Russia as a whole, illustrating stronger regional momentum [PSB press service].
Entrepreneurs feel the local environment and policies will foster further growth. At the same time, there is a clear pattern of financial sector challenges: one of the four RSBI components—access to finance—has frequently trended negatively, reflecting ongoing constraints in funding options [PSB press service].
There is a paradox, according to the bank’s leader: demand and interest are present, yet access to financing must improve to translate intent into action.
“We are prepared to address this challenge—this is a major, essential issue. At the same time, the state’s support infrastructure, which enables a positive backdrop for business development, is being implemented to the fullest extent,” Fradkov concluded [PSB press service].
The bank’s press service noted that during the fair, PSB representatives conducted a series of meetings with regional leaders, signed agreements to advance the economy of the North Caucasus Federal District, and participated in discussion platforms. The parties reaffirmed their commitment to supporting small and medium enterprises throughout the North Caucasus region [PSB press service].