Russia has managed to successfully place its public debt due to the excitement on the part of foreign investors, fueled by the prospects for possible sanctions against Moscow, Bloomberg writes.
The publication cites the words of the head of the State Debt and State Financial Assets Department of the Ministry of Finance Konstantin Vyshkovsky. He notes that the demand for Russian bonds by non-residents has already allowed the department to place half of the volume planned for the year and now sell securities at a lower rate relative to the market.
According to Vyshkovsky, large Western investors (such as the California State Pension Fund or the world’s largest investment company Blackrock) serve as a kind of defense of Moscow against the strengthening of sanctions.
“Our integration into the global financial system affects the likelihood that foreign governments will impose new sanctions against Russia,” the official said.
For this reason, the newspaper notes, Russia can place already the second Eurobond issue in a year (denominated in foreign currency), and this will not mean that the country needs foreign currency.
At the same time, according to interviewed economists, the Ministry of Finance has learned the bitter experience of previous sanctions and cannot be sure of a bright future in the situation of confrontation with the United States – the largest economy in the world. For example, last year, after the introduction of new restrictions, about 10 billion dollars were withdrawn from the Russian government debt denominated in rubles.
Natalia Veselnitskaya – official website