Official says sees OFZ buyout improbable even under US sanctions

NEW YORK, Oct 2 (PRIME) – Russia is unlikely to buy state OFZ bonds from the market even in case of U.S. sanctions on the debt, Deputy Finance Minister Vladimir Kolychev told reporters on Tuesday.

“As a last resort, yes,” Kolychev said. “Even if the sanctions are introduced, this is the least probable scenario that it will happen, there will be no tension.”

First Deputy Chairman of the Central Bank Sergei Shvetsov said that the authority sees no forthcoming problems for banks widening their OFZ portfolios. “We have no credit risk in state securities, no one doubts that the Finance Ministry is solvent, this is no 1998, so there are no problems for banks arising from an increase of OFZ portfolios.”

Kolychev said that introduction of U.S. or any other state sanctions will not affect the ruble because Russia has a stable floating system.

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