Minister of Finance of Mozambique was fired after non-payment of interest VTB

The President of Mozambique, Filipe Nyusi sent in resignation of the Minister of Finance Adrian Malelane, reports Reuters.

Representatives of the President was not informed about the reasons for the dismissal of Malelane, and did not specify who will replace him on this post.

On 8 June the Mozambican government for the first time officially confirmed that the Mozambique state Fund Asset Management could not may 23, to hold the first payment on the loan of $535 million received from the Russian Bank VTB received from the Russian Bank VTB. The Minister said that the government had advised the state Fund to find a way out of the situation, to prevent the conversion of its debt into government debt. The Fund carries on negotiations on debt restructuring.

June 4, the newspaper the Wall Street Journal reported that the Bank of England suspected Credit Suisse and VTB in violation of applicable UK disclosure rules by not providing investors with information on loans worth more than $1 billion granted to state-owned companies of Mozambique, with the participation of these banks.

The next day, VTB has informed that has transferred $485 million to investors who operate in this region. The Bank said that VTB is actively working with the government of Mozambique to resolve the situation. In VTB also removed material losses because of the deal.

The press service of VTB Bank told RBC that do not know about any investigation in respect of a transaction in Mozambique. “We adhere to the principles of transparency and openness of doing business, and our interaction with regulators on transactions in Mozambique is no exception,” — said in the Bank.