Small business owners in the city economy now have access to preferential loans, as VTB signed the initial agreement for such financing.
VTB, the pioneering Russian bank, recently took a significant stride in urban development by partnering with VEB.RF and Corporation MSP to launch a revolutionary guaranteed financing program. Dubbed the "Umbrella for Urban Growth", this groundbreaking initiative is aimed at empowering small and medium-sized enterprises (SMEs) in urban economies, particularly those focused on innovative digital solutions.
This collaborative effort was announced at the 2025 St. Petersburg International Economic Forum (SPIEF), signifying an unprecedented joint venture targeting the finances of urban businesses. The program streams funding towards priority sectors of the urban economy, providing a much-needed cushion to SMEs seeking to invest in the digital future.
Joint guarantees from VEB.RF and Corporation MSP will cover up to 50% of the loan amount, thus alleviating banks' risks, paving the way for more favorable credit terms. Prospective enterprises will reap the benefits of a simplified guarantee application process, reducing the time and financial burden associated with obtaining funding.
VTB has already greenlit several projects for this venturesome financing scheme. In anticipation, VTB Deputy Chairman Denis Bortnikov expressed his optimism toward the program, citing its potential to foster small business expansion, initiate investment plans, and bolster economic stability while promoting job creation.
VEB.RF will contribute 25 billion rubles to the undertaking, reaffirming the significance of collaboration with VTB in enhancing access to financing for urban businesses. Corporation MSP's Alexander Isaevich further emphasized this collaboration's potential in fostering a vibrant entrepreneurial environment and heightening regional investment attractiveness.
Whilst the Umbrella for Urban Growth echoes the broader objectives of the original "umbrella" guarantee program, it diverges from the latter by focusing on urban SMEs in the digital technology sector. The program provides up to £70,000 in grants for as many as 10 recipients, offering support for digital innovations such as smart data tools, AI solutions, digital platforms, and immersive technologies that promise to impact the urban economy and beyond[2].
In addition to funding, the initiative extends guidance to prospective applicants through information events and access to case studies of successful past applicants to provide inspiration as they strive to scale their ventures[2]. With South Gloucestershire Council and the West of England Mayoral Combined Authority stepping in to administer the grants and offer funding support, the Umbrella for Urban Growth launched without direct competition from other similar programs targeting urban SMEs[2].
In all, the Umbrella for Urban Growth promises to be a significant catalyst for change in the urban economy, empowering businesses to explore their potential and shape the future with digital innovation at its core. Whether you're developing smarter reading glasses or enhancing traffic management with AI, this program offers a promising veil of support, ensuring that even the most radical ideas see the light of day.
This groundbreaking Umbrella for Urban Growth initiative, a joint venture between VTB, VEB.RF, and Corporation MSP, is targeting the financial needs of urban businesses and SMEs focused on digital solutions in the industry and finance sectors. With VTB providing funding and simplified guarantees for eligible businesses, the program aims to stimulate small business expansion, investment plans, and promote job creation within urban economies.
