central bank russian banking system in a safe place
Last Updated : GMT 06:49:16
Arab Today, arab today
Arab Today, arab today
Last Updated : GMT 06:49:16
Arab Today, arab today

Central bank: Russian banking system in a safe place

Arab Today, arab today

Arab Today, arab today Central bank: Russian banking system in a safe place

Elvira Nabiullina
Moscow - AFP

Russia's central bank chief insisted Monday that the country's beleaguered banking system is out of danger after being battered by the economic crisis rocking the country.

"The situation in the banking system is by and large a mirror for what is happening in the economy," bank head Elvira Nabiullina told President Vladimir Putin at a meeting.

"Of course, external events have had an impact on the development of the banking system. But in general, indicators show that it is in a safe place, that the banking system is stable."

Russia entered its worst financial crisis of Putin's 15-year rule in December as plummeting oil prices and Western sanctions over the conflict in Ukraine sent the economy into a nosedive.

A sharp plunge in the ruble spurred Russians to withdraw funds for conversion into foreign currencies, and threw huge corporate debt repayments into doubt.

The central bank hiked interest rates sharply to curb the ruble's fall, stifling new lending and ramping up the rate of unpaid debts.

Authorities were then forced to close down dozens of banks judged to be too fragile, while major lenders suffered losses or eroded profits.

Nabiullina said that after several months of losses the banking sector as a whole had returned profits of some 51 billion rubles ($794 million, 724 million euros) in the first half of 2015.

The figure is way down on the profits of 600 billion rubles ($9 billion, 8.5 billion euros at the current rate) in the 12 months of last year, and 1 trillion rubles ($15.5 billion, 14.2 billion euros) in 2013.

The banking sector profited from a rebound in the ruble in the spring that allowed the central bank to cut back its rates and moved Russian officials claim the worst of the crisis had past.

A recent renewed slump in the ruble on the back of falling oil prices has seen the currency fall to its lowest point against the dollar since February, highlighting how fragile the situation remains.

 

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

central bank russian banking system in a safe place central bank russian banking system in a safe place

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

central bank russian banking system in a safe place central bank russian banking system in a safe place

 



GMT 20:53 2018 Monday ,22 October

PM Imran Khan to leave for Saudi Arabia today

GMT 08:20 2018 Tuesday ,16 January

Lamborghini races to new sales record

GMT 00:19 2017 Wednesday ,13 December

Switzerland chainsaw attack: 5 hurt in Schaffhausen

GMT 09:51 2017 Tuesday ,07 November

Broadcom makes $130 bn mega-bid

GMT 20:53 2017 Tuesday ,07 March

Syrian forces retake Aleppo water-pumping station
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube

Maintained and developed by Arabs Today Group SAL.
All rights reserved to Arab Today Media Group 2025 ©

Maintained and developed by Arabs Today Group SAL.
All rights reserved to Arab Today Media Group 2025 ©

arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday