#16 - JRL 2007 - 210 - JRL Home
No Risk Of Banking Crisis In Russia - Presidential
Expert
MOSCOW. Oct 6 (Interfax) - Arkady Dvorkovich, the head of the Russian
presidential economic analytical department, has ruled out the possibility of a
banking crisis in Russia.
"There is no and will not be any risk of a banking or other financial crisis
in Russia," Dvorkovich said in an interview shown on the Vesti-24 news
television channel on Saturday.
"One of the most reliable pillars on which the Russian banking system rests
is private deposits, which is the most stable source of financing for banks,"
Dvorkovich said.
"Therefore, the Russian banking system on the whole has no reasons for
concerns. There are no such risks," he said.
"If some banks have too large foreign debts, I think they could find enough
resources on the Russian financial market to minimize this problem," Dvorkovich
said.
"In any case, the Russian banking system needs an additional capital inflow.
If these banks seek to attract new shareholders and investors, this could be a
solution to the problem," Dvorkovich said, referring to the problem of the
repayment of their foreign debts.
Asked whether individual companies operating on the Russian financial market
default on their loans, Dvorkovich said, "Bankruptcy is a normal form of
existence on the market."
The number of bankruptcies in Russia is much lower than on other markets,
including developed ones, Dvorkovich said. "If someone leaves the market for
various reasons, including because of having pursued too risky a policy, this is
normal," he said.
"What counts most is that there should not be a systemic crisis on the
financial market, which could harm the economy, the people, and the country on
the whole," he said.
"It is certain that there are no such risks," he said.
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