Vnesheconombank and Harbin Bank have agreed to establish a group of funds to support innovation with target investment of up to USD 700 million. The banks reached the relevant agreements when signing a memorandum of understanding and framework agreement at the fourth Russian-Chinese Expo in Harbin, China, VEB’s press service reports.

The parties also signed letters of intent with Russian technology companies whose projects may be included in the portfolio of the future funds.

The funds are expected to promote cooperation between the governments, financial institutions and scientific and technical enterprises of Russia and China as well as encourage the introduction of scientific and technical developments in production using venture investments.

“We expect that in the very near future we will start investing in pilot deals for which our teams are already working out a preliminary list”, the bank’s press service quotes VEB First Deputy Chairman of the Management Board Nikolay Tsekhomskiy as saying.