UPDATE: Russian govt to solve problems of excessive FX liabilities

(Adds details in last paragraph)

MOSCOW, Feb 5 (PRIME) – The Russian government is working on the problem of excessive liabilities denominated in foreign currencies, Economic Development Minister Alexei Ulyukayev said Friday at a meeting of the United Russia party.

“Russians have stopped purchases of foreign currency, and banks now have an excess of foreign currency liabilities. We need measures to soften this excess and we are working on that,” he said.

“Banks have a rather large amount of foreign currency liabilities, and we now may study different measures, including an offer of special foreign currency-denominated bonds in order to balance the liabilities.”

Finance Minister Anton Siluanov said the ministry does not plan any issues of foreign currency-denominated bonds at the domestic market to ease excessive currency liabilities of banks. “We plan no foreign currency bonds at the internal market,” he said.

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