Sberbank calls for more Indian workers to ease labour shortages in Russia’s construction

Russia’s largest lender, Sberbank, on Wednesday called for more workers from India to be allowed into the country to help overcome labour shortages in the construction sector and offered help to facilitate the immigration process.Faced with what the authorities say is an immediate shortage of at least 2.3 million workers – a shortfall exacerbated by Russia’s war in Ukraine – Moscow has already turned to India for workers.

In 2021, the year before Russia sent its troops into Ukraine, some 5,000 work permits were approved for Indian nationals. Last year, the number rose to almost 72,000 permits – nearly a third of the total annual quota for migrant workers on visas.
But Sberbank said more were needed.”We work together with partners to develop solutions to simplify the process of entry for prospective foreign workers with the required competencies,” Anatoly Popov, Sberbank’s deputy CEO, told reporters on the sidelines of the St. Petersburg International Economic Forum.

“And we believe this project has significant potential, because labour migrants from India are well known across many countries and on numerous construction projects,” he said.

According to Russia’s Labour Ministry, the country’s construction sector would need an additional 789,000 workers by 2030.

President Vladimir Putin and Indian Prime Minister Narendra Modi signed a deal in December to make it easier for Indians to work in Russia. Denis Manturov, Russia’s first deputy prime minister, said at the time that Russia could accept an “unlimited number” of Indian workers.

Sberbank has also said it plans to increase its exposure to the Indian market and increase the number of offices it has in the country.