Today, February 14th, Renault and Nissan announced their plans to form a JV with Italian bank Unicredit, to offer loans to vehicle customers in Russia.
The Renault-Nissan alliance will own 60% of the joint venture and UniCredit will have the rest of 40%. Although the auto market growth in Russia has begun to slow, analysts still expect this market to surpass Germany and become the largest auto market in Europe by the end of this decade, due to the fast increase of consumer lending and the growth of the middle class.
The venture “is aimed at further strengthening the alliance’s competitive positioning in the Russian car market which is forecast to continue to grow rapidly over the next decade,” the companies said.
In 2012, Russia sold more than 2.9 million new vehicles, from which 352,808 vehicles sold by the Renault-Nissan alliance, accounting for 12% of the market share and making Russia a source of growth of utmost importance. Although UniCreadit is a relatively small player in the country, the JV, which is to start operations by the end of this year, is expected to make the company increase its retail banking operations in this market.