ACRA: State ownership in Russian banking sector rises to 70% - News Archive - PRIME Business News Agency - All News Politics Economy Business Wire Financial Wire Oil Gas Chemical Industry Power Industry Metals Mining Pulp Paper Agro Commodities Transport Automobile Construction Real Estate Telecommunications Engineering Hi-Tech Consumer Goods Retail Calendar Our Features Interviews Opinions Press Releases

ACRA: State ownership in Russian banking sector rises to 70%

MOSCOW, Feb 13 (PRIME) Ц The governmentТs holding in Russian banks rose to 70% in 2017 from 61% as of the beginning of 2016, Kirill Lukashuk, head of the financial institutions group of the Analytical Credit Rating Agency (ACRA), said on Tuesday during a joint news conference with the Moscow Exchange.

There are no private banks among RussiaТs top five banks, and only three private banks, including a subsidiary of a foreign bank, among RussiaТs top 10 banks, he said.

УWe see risks of delays in privatization of institutions that are bailed out. We are yet to see a precedent of a complete privatization of a financial institution in the Russian financial sector. No one has done it in Russia yet, it is a very difficult task and it is likely to be solved within the sanction field and in conditions of a rather weak economy. We see no real prerequisites for it to happen fast,Ф he said.

Return to industry-targeted banks, like Promsvyazbank that is to become a bank for the defense industry, is also alarming from the point of view of competition, he said.

Other risk factors include inefficient state management of investment; liberal oversight practices; provision of loans on orders from government; development of politically important industries; a Уstate within a stateФ practice when state companies may place funds only with state banks; and a high level of contingent liabilities of the state for provision of support to the financial system, he said.

End

13.02.2018 18:28
 
 
Share |
To report an error select text and press Ctrl+Enter
 
 
Central Bank Official Rate
1W 1M 1Y
USD
EUR 76.0926 +0.2850 13 nov
USD 67.5238 +0.6741 13 nov
Stock Market Indices
1D 1W 1M 1Y
MICEX
rtsi 1114.75 -0.59 18:50 12 nov
micex 2393.81 -0.40 18:50 12 nov
Stock Quotes in RUR
1D 1W 1M 1Y
GAZP
gazp 150.89 -1.50 18:49 12 nov
lkoh 5129.00 +0.68 18:49 12 nov
rosn 463.50 -1.09 18:49 12 nov
sber 196.82 +0.55 18:49 12 nov
MICEX Ruble Trading
1D 1W 1M 1Y
USDTD
EURTD 76.2550 -0.1300 14:59 12 nov
USDTD 67.4300 +1.0275 17:44 09 nov