Accounting Change Allows for More Foreign Ownership of Russian Banks

Issue Number: 
13
Author: 
Reuters
Published: 
1999-05-10


The share of foreign investors in the Russian banking system will be calculated as their share in bank capital, not in charter capital as it was previously, Central Bank Deputy Chairman Vladimir Goryunov said at the seventh banking conference in Yalta.

That will essentially enable a four-fold increase in the share of foreign capital in the banking system without exceeding limits set by law, he said. Goryunov said that charter capital can no longer serve as an indicator of foreign capital in the banking system in the post-crisis period.

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