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Russia, the United States and France have...

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Russia to provide €400 million aid to Eastern Europe

Russia will provide financial assistance to crisis-hit countries in Eastern Europe. The Russian government will contribute €40 million to the share capital of the European Bank for Reconstruction and Development (EBRD) and guarantee another €360 million contribution.

EBRD shareholders - the governments of 61 countries - will meet in Zagreb, Croatia, to approve a €10 billion increase in the bank"s capital. Although Russia"s EBRD stake is only 4%, it is one of the bank"s largest sponsors.

EBRD needs additional capital to extend more loans to eastern European nations, including Russia. Many private investors closed their projects in less stable countries of the former socialist bloc during recession, including Ukraine, Hungary and the Baltic states.

EBRD President Thomas Mirow said in an interview that private investors were rather skeptical about Eastern Europe, feeling more confident

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