Russia's 30 Biggest Banks Are Mainly Risk-Free
Risk-free loans made up 76.3 percent of the loan portfolios of Russia's 30 biggest banks on February 1, the Central Bank said. Moderate risk loans made up 5.3 percent of total loans provided, and high-risk loans made up 6.52 percent.
Bad loans made up 11.9 percent of total lending by the country's 30 biggest banks. The top 30 banks had provided 320.7 billion rubles in loans as of February 1, including 28.4 billion rubles in past-due loans.
Private Bank Accounts Grew 3.4 Percent In February
The amount of money in Russia's private bank accounts increased by 3.4 percent in February to 158.6 billion rubles. Private bank accounts held 149.5 billion rubles at the start of the year and 157.8 billion rubles on March 1, the State Statistics Committee said.
Bank accounts have grown by 6.1 percent since the start of the year. Deposits in state savings bank Sberbank increased in February to 137.6 billion rubles.
Bashkreditbank Sells 73 Kg Of Gold To Swiss Bank
Russia's Bashkreditbank sold 73 kilograms of gold to Swiss bank CS First Boston in what was its first precious metals foreign deal.
The Ufa-based bank said it would increase gold exports in the future. Bashkreditbank specialists said it is more profitable to sell precious metals abroad since domestic prices are still regulated by the Central Bank.
German Bank Prolongs Loan To Toribank
Bayerische Hypo und Vereinsbank of Germany has extended a DM 3 million loan to Russia's Toribank for another six months. The loan is part of a program to support German exports.
German insurer Hermes has also extended for another six months guarantees provided to Toribank under the program, the bank said. Toribank has been working on this program, which was focused on German exports of equipment to Russia since November 1996.
Moody's Lowers Rating On
Moody's rating agency has lowered its ratings for bonds issued by the city of Moscow in foreign currency and rubles to Caa1 from B3, the agency said in a press release. The city has accumulated substantial debt largely in foreign currency and risk associated with refinancing the debt and the ruble's decline are growing. Moscow is also experiencing an increase in tax debt and mutual offsets.
The rating downgrade affects Moscow Eurobonds denominated by U.S. dollars, German marks, and Italian lira which mature in 2000 and 2001.
Inkombank Bankruptcy Hearing Postponed Until May 27
A Moscow arbitration court extended temporary supervision at troubled Inkombank for another two months and postponed the bank's bankruptcy hearing until May 27.
The court ruled against a Central Bank petition to declare Inkombank bankrupt, and put the bank into receivership.
World Bank To Provide $400
Mln For Treasury System
The World Bank will lend Russia $400 million to develop its treasury system, Deputy Finance Minister Tatiana Nesterenko said. The World Bank and the Treasury are currently negotiating the terms of the loan, she said. A decision to release the money could come in November or December.
Nesterenko said that some of the money was provided to finance tasks assigned by the government for 1999. The treasury this year will draw up a plan to switch the Defense Ministry to the treasury system and develop a mechanism to hold the payables of budget organizations in check, and create technology for a single treasury account.