By Sectionsvtb Bank

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Spotlight Wire

VTB became the first Russian bank to set up operations in India when it opened a representative office in New Delhi in 2005. Since then, it has steadily scaled its services, ranging from direct rupee-rouble transactions and corporate banking to support for Russian firms establishing a local presence, alongside trade finance and documentation solutions. Nearly two decades on, the bank continues to expand its footprint, with a notable rise in its role in handling export payments and other foreign trade flows.“Having a physical presence in India gives us clear strategic advantages. It ensures direct access to settlement systems in both countries, speeds up transactions, reduces costs, and builds confidence among Indian partners and regulators,” said Elena Komarova CEO of VTB Bank New Delhi branch. Spotlight WireWith India-Russia trade deepening, industry and investment leaders are taking notice of the evolving landscape.“As a fintech founder, I see India-Russia economic relations on a consistent upward course, with imports and exports increasing steadily each year. From an investment standpoint, this is more than transactional trade; it represents stability and long-term potential. Beyond trade, India and Russia are also strengthening cooperation in areas such as energy, infrastructure, technology, and defence. This diversification of ties ensures that the partnership is not just transactional, but deeply integrated across critical sectors that matter for long-term growth,” says Prasad Lendwe, CEO, FinnovationZ, headquartered in Hyderabad.VTB offers integrated solutions, including direct payments in rupees and roubles, full corporate banking services, assistance with registering branches and representative offices of Russian companies, as well as documentary services and trade financing instruments.Two-way commerce between Russia and India has increased seven times in a period of five years, with Russia becoming India’s second-largest supplier in 2023 due to diversified exports away from energy. Crude oil is the backbone, 36.4% of India’s imports in 2024, accompanied by coal, fertilizers, aluminum, and rapidly rising agricultural commodities. In contrast, India’s exports to Russia increased 21% in 2024 to almost $5 billion, driven by pharmaceuticals, computer hardware, textiles, apparel, tea, spices, rice, jewellery, and industrial goods. Live EventsOver the past three years, Russian exports to India have risen more than twentyfold, reshaping the trade balance between the two countries. In the 2024–2025 fiscal year, overall turnover reached a record $68.7 billion. As commerce deepens, banking infrastructure has become a crucial link in keeping transactions smooth and sustainable, with VTB emerging as one of the key facilitators of this growing exchange.Banks and businesses are increasingly streamlining settlement and unveiling new financial instruments, and trade volumes, product variety, and payment systems are growing at a rapid pace with no indication of a letup.“The India-Russia relationship is entering an important new phase, evolving from a defence-focused partnership into a broader economic and developmental alliance. Energy lies at the core of this change, with Russia emerging as a major supplier of oil to India, strengthening energy security and supporting economic stability, while also opening opportunities for long-term contracts, LNG infrastructure, and collaboration in new frontiers such as Arctic projects. Alongside energy, both nations are exploring new financial mechanisms to facilitate smoother trade and reduce reliance on traditional systems, thereby encouraging greater confidence for businesses and paving the way for investments in infrastructure, agriculture, and technology. Together, these efforts reflect a partnership based on trust, shared interests, and a vision for long-term growth,“ says Dr Nishakanth Ojha, Professor of Practice at Ajeenkya D.Y. Patil University. VTB India is shifting its operating modelWhat began as a small transactional office in Delhi has grown into a full-fledged financial partner for businesses and private clients, with VTB expanding services to meet the rising demand for Russia–India settlements. This year, the bank is opening a larger office in Connaught Place and planning a Mumbai branch, while also rolling out internet banking and online onboarding for seamless remote access. On September 3, 2025, VTB launched its ‘Indian Test-Drive’ package in Russia—offering a free rupee account, ultra-low transfer fees, preferential exchange rates, and multilingual support—to help companies enter the Indian market. With transaction volumes through VTB Bank India branch up 2.5x in H1 2025, growing interest from Indian firms, and persistent barriers of limited information and contacts, VTB is positioning itself as the bridge for businesses between the two countries.“We are not just opening offices and launching products, we are building financial infrastructure that allows businesses in both countries to operate seamlessly: quickly, predictably, and without currency or regulatory barriers. India is not just a point on the map, but a strategic partner for decades to come,” says Olga Basha, Board Member at VTB Bank. Spotlight WireVTB is developing the foundations for sustainable Russia–India business relations, without grand statements, but through deliberate steps. In an era of global instability, the bank provides reliability, speed, and simplicity. As the Rtn. Manpreet Singh, President of the Indian Chamber of International Business, put it: “First comes friendship, then business.” Disclaimer – The above content is non-editorial, and TIL hereby disclaims any and all warranties, expressed or implied, relating to it, and does not guarantee, vouch for or necessarily endorse any of the content.Add as a Reliable and Trusted News Source Add Now!
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