MOGILEV, 22 July (BelTA) – A German bank is ready to help retool OAO Mogilevkhimvolokno. The company's Director General Piotr Rudnik informed Belarus President Alexander Lukashenko about it on 22 July, BelTA has learned.
According to Piotr Rudnik, an agreement to the tune of over €27 million was signed between Belarusbank and a German bank on 12 July. “The German bank is ready to lend us the money at a small interest rate for the sake of buying equipment and modernizing the second chemical shop. A German insurance company is supposed to consider applications of two banks and make the decision on 28 July. The German side expects the decision to be positive. We hope for it as well,” said the Mogilevkhimvolokno Director General.
The executive explained that the retooling project will allow the company to make new kinds of fibers, which are in demand on the European market. As he delivered his report to the head of state, it was noted that the company does not stay idle, it operates at 100% output capacity, while the stock in storage is at 30% at most. The factory exports over half of the output to Russia and the European Union.
The head of state pointed out that the enterprise has many vacant buildings and spare premises. According to Piotr Rudnik, the factory has a total of 95 buildings out of commission, with their residual value as large as Br108 billion (pre-redenomination rubles).
Alexander Lukashenko noted that he will visit OAO Mogilevkhimvolokno in November. By that time the management of the enterprise is supposed to decide what to do with the spare premises and to work out a plan for the future development of the factory.
