KUALA LUMPUR, Aug 28 (Bernama) -- Malaysia and Russia expect to sign a Memorandum of Understanding (MoU) this September which would enhance economic ties between the two and see their joint cooperation in supporting the development of their respective small and medium sized enterprises (SMEs).

A statement issued by the SME Bank (Russia) Tuesday, said the MoU would be signed by Russia's State Corporation Bank for Development and Foreign Economic Affairs (Vnesheconombank), SME Bank (Vnesheconombank Group) and Malaysia's SME Bank during the APEC Business Summit this September 7-8 in Vladivostok, Russia.

The MoU will be signed by Vladimir Dmitriev, chief executive officer (CEO) of Vnesheconombank, Sergey Krjukov CEO of SME Bank (Russia) and Datuk Mohd Radzif Mohd Yunus, managing director of SME Bank Malaysia.

Sergey Krjukov said the move will provide new tools for the development of SME, a major factor of economic growth in both countries.

"We would focus on exchange of experience in the area of innovative, hi-tech and modernisation-related projects of SMEs both in Malaysian and Russia," he said in the statement.

Under the MoU, the parties will cooperate in providing informational and consultative support for SMEs in Malaysia and Russia via the three banks, as well support import and export activities between the two, and activities within Russian-Malaysian agreements.

Meanwhile, the APEC summit, being held for the first time in Russia, will see over 700 representatives from major companies of the Asia Pacific region participating in the forum.

-- BERNAMA