Cbanker: Russian companies’ debt burden on brink of safety

MOSCOW, Apr 19 (PRIME) – Russian companies’ debt burden is on the brink of being safe for emerging economies, First Deputy Central Bank Chairwoman Ksenia Yudayeva said at a conference on Tuesday.

“Debt financing is the main form of financing of companies in our country, we are already above an average debt burden, or I would say at the breaking point of the level, which is considered safe for emerging markets,” she said.

“But you have to understand that not only in our country, but anywhere in the world debt financing is not the key source of financing investment. Investment is mainly financed from profit. Companies also raise shareholder equity for investment and here we are lagging behind other emerging economies a lot.”

End