Sberbank opens $344 million credit line to build bridge in Russia's Far East

Russia's Sberbank on Thursday said it had opened a 10-year credit line of up to 25 billion roubles ($344 million) to build a bridge over the Lena River in Yakutia, a project that could transform transportation in Russia's Far East.

Russia's Sberbank on Thursday said it had opened a 10-year credit line of up to 25 billion roubles ($344 million) to build a bridge over the Lena River in Yakutia, a project that could transform transportation in Russia's the Far East. The two parts of the region's capital, Yakutsk, a city of more than 300,000 inhabitants situated around 3,030 miles (4,880 km) east of Moscow, are currently separated by the river.

The regional government earlier this year appointed a consortium of VIS Construction Group and state conglomerate Rostec to construct the bridge, which is due to connect the eastern and western parts of the region. Construction had been planned in 2014, but the project was postponed as Russia's government diverted funds to financing projects in Crimea, which Moscow had just annexed from Ukraine.

The total budget for the bridge is estimated at 83 billion roubles and its final cost will be determined based on later expert analysis, Sberbank, Russia's largest lender, said in a statement. The first loan under the credit line is planned to be provided as early as this month, Sberbank said.