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    Russian Economy General News: #2

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    Austin
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    Re: Russian Economy General News: #2

    Post  Austin on Thu Mar 06, 2014 7:17 pm

    I think what he is stating is when QE end which is like 2015 and when real inflation grows then keeping bond wont be attractive and there will be mass selling of bonds that where the Fed will collapse.

    Though I am not an economist and dont understand many aspect of it but out of sheer understand what I think he is trying to say is the current economy is doing nothing much for the 99 % but all the money is being put to Stock Market for the top 1 % and is not generating any value for the real economy via QE ...... and its not sustainable .....basicly the Fed is keeping the bankers happy to make todays collapse move over to few more year with more dire consquences.

    This guy too says the same and he is not David Stockman

    This is no recovery, this is a bubble – and it will burst

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    Re: Russian Economy General News: #2

    Post  Hannibal Barca on Thu Mar 06, 2014 7:39 pm

    I think what he is stating is when QE end which is like 2015 and when real inflation grows then keeping bond wont be attractive and there will be mass selling of bonds that where the Fed will collapse.


    Not really. If you listen somewhere says that FED intents to keep the zero rates virtually forever. This is not new. Is a Japanese recipe.
    Japan central bank keep interest rates virtually negative for 2 decades now, only recently started creating inflation cause they could no more keep the interesting rates so low.
    The big question is whether FED will be FORCED to increase interest rates, increase inflation and increase unemployment.
    His bet is that (despite the dollar being still strong as he says) FED likely will brake this QE plan before this 2 year term end thus effectively ending the bubble creation.
    btw Dollar start showing signs of weakening lately but probably the Chinese will cleverly preserve the agony a little longer by devaluing their own currency accordingly.




    Though I am not an economist and dont understand many aspect of it but out of sheer understand what I think he is trying to say is the current economy is doing nothing much for the 99 % but all the money is being put to Stock Market for the top 1 % and is not generating any value for the real economy via QE ...... and its not sustainable .....basicly the Fed is keeping the bankers happy to make todays collapse move over to few more year with more dire consquences.


    This is common knowledge. Nobody denies this reality  lol1

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    Re: Russian Economy General News: #2

    Post  As Sa'iqa on Fri Mar 07, 2014 2:36 pm

    Do you know the statistics how much of Russian GDP is based on oil exports?

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    Re: Russian Economy General News: #2

    Post  Hannibal Barca on Fri Mar 07, 2014 2:57 pm

    As Sa'iqa wrote:Do you know the statistics how much of Russian GDP is based on oil exports?


    Yes. If my memory serves me well, something like 15% of total gdp is contributed by oil and gas exports.
    It is 60% of the total exports but as a total is not as much as some sources want us believe.

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    Re: Russian Economy General News: #2

    Post  As Sa'iqa on Fri Mar 07, 2014 3:05 pm

    Why has Russia failed to diversify it's economy?

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    Re: Russian Economy General News: #2

    Post  sepheronx on Fri Mar 07, 2014 5:28 pm

    As Sa'iqa wrote:Why has Russia failed to diversify it's economy?

    And how did they not? Read sdelanounas or are you the type that ignores everything going on and just repeat yourself? Cause I think I had to repeate myself to you and others multiple of times.

    Since you are expert at economy, care to explain to me what they should do and how they should do it, with examples?

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    Re: Russian Economy General News: #2

    Post  As Sa'iqa on Fri Mar 07, 2014 8:19 pm

    Russian exports still consist in roughly 75% of oil and gas exports. It is still lower than in Gulf countries and RU hass avoided GDP contraction that took place in UAE, Venezuela etc. But breaking away from oil dependacne is still far away. Haven't they acknowledged their failure?

    BTW Do you know Russian, Sepheronx?

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    Re: Russian Economy General News: #2

    Post  TR1 on Fri Mar 07, 2014 9:24 pm

    Because it is far easier for some people to make dat oil money then to make investments for gain in the long run.

    Though there have been positive developments. And the economy as a whole is huge compared to what it was 20 years ago.

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    Re: Russian Economy General News: #2

    Post  magnumcromagnon on Fri Mar 07, 2014 10:15 pm

    TR1 wrote:Because it is far easier for some people to make dat oil money then to make investments for gain in the long run.

    Though there have been positive developments. And the economy as a whole is huge compared to what it was 20 years ago.

    I think there should be more funding for the sciences, especially for microchips so that Russia can be independent and won't be cut off at the knees with US-backed embargoes. The less dependence on electrical engineering from foreign suppliers like South Korea, the better.

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    Re: Russian Economy General News: #2

    Post  GarryB on Sun Mar 09, 2014 9:46 am

    Why has Russia failed to diversify it's economy?

    Russia sells oil and gas because there is still enormous demand for oil and gas.

    It is diversifying its economy but while there is a demand for oil and gas they would be idiots to stop selling it.


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    Re: Russian Economy General News: #2

    Post  As Sa'iqa on Sun Mar 09, 2014 10:38 am

    But what will happen if prices drop? (gas prices are already falling)

    Finis Russiae? Wink 

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    Re: Russian Economy General News: #2

    Post  collegeboy16 on Sun Mar 09, 2014 4:57 pm

    russkies will get off their bums and start an agressive campaign to become a high-tech manufacturing economy. basically what they are doing to the MIC ditto to civil industries. But they are doing exactly that- the oil and gas and other natural resources are easy money that will help their efforts in divestification- ease pressure from the developing industries so they grow naturally and arent bloated plus could actually pull their own weight.

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    Re: Russian Economy General News: #2

    Post  As Sa'iqa on Sun Mar 09, 2014 7:48 pm

    Did they change aomething recetly that would make doing business easier?

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    Re: Russian Economy General News: #2

    Post  magnumcromagnon on Mon Mar 10, 2014 2:30 am

    YotaPhone second generation recognized as the best at MWC

    Leading international Russian media called the most innovative device

    More than a dozen leading international media business and telecommunications YotaPhone recognized as the most innovative second generation device exhibition Mobile World Congress (MWC).

    A new generation of smartphone with two screens, one of which is always on, received top honors from such prestigious media as CNN, Time, TechLand, ComputerBild, Expert Review, LapTop Mag, PC Mag, Tech Central, PocketLint, T3, Tom's Hardware, Tom's Guide , Ubergizmo and others.

    The first generation of the device, in turn, sold now in Russia, Belarus, Kazakhstan, Germany, France, Spain and Austria. The company plans in the next two months to expand the list of countries to 15 and start selling in the Middle East.

    The design of the second generation YotaPhone became more elegant and ergonomic device has become thinner and lighter, while its size increased. Also improved specifications YotaPhone, which will now have a 4-core processor Qualcomm, the main 5-inch AMOLED-display and EPD-second display, which became fully touch.

    " We are very grateful to the journalists working at the MWC for the fact that they appreciated our innovative concept of a smartphone with two screens, seeing the potential for a new generation YotaPhone " , - said General Director of Yota Devices Vladislav Martynov. He also stressed that always included a full touchscreen display makes the device even more interactive and intuitive.

    " In the second generation YotaPhone we managed to develop the idea of an innovative smartphone with two screens, making the device even more perfect, "- said Vladislav Martynov.

    As emphasized previously CEO of Yota Devices, the company plans to improve its facilities, and regularly provide products that can compete with the major market players.

    Within 4 days of the exhibition of more than 10 million visitors have visited the booth Yota Devices and able to familiarize himself with the first and second generation YotaPhone.

    http://rostec.ru/news/4302

    Press Release: http://rostec.ru/content/files/press-rel/press-release_YotaDev.pdf

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    Re: Russian Economy General News: #2

    Post  GarryB on Mon Mar 10, 2014 9:47 am

    But what will happen if prices drop? (gas prices are already falling)

    Finis Russiae?

    What if they go up?

    Will Silicon Valley in the US stop working on computer technology because they are too focussed on IT?

    Diversification is good because it is resilient, but it requires investment and there is no guarantee that what you diversify into will make any where near the money what you are good at will earn you.

    Russia right now is investing in its military and indirectly also shipbuilding, aviation, and an enormous range of other technology areas. It is investing in Skolkovo, it is investing in Aerospace... in fact I would say they are probably not investing enough in oil and gas and are a little reliant on foreign partners for that in some places.


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    Re: Russian Economy General News: #2

    Post  magnumcromagnon on Mon Mar 10, 2014 10:52 am

    GarryB wrote:
    But what will happen if prices drop? (gas prices are already falling)

    Finis Russiae?

    What if they go up?

    Will Silicon Valley in the US stop working on computer technology because they are too focussed on IT?

    Diversification is good because it is resilient, but it requires investment and there is no guarantee that what you diversify into will make any where near the money what you are good at will earn you.

    Russia right now is investing in its military and indirectly also shipbuilding, aviation, and an enormous range of other technology areas. It is investing in Skolkovo, it is investing in Aerospace... in fact I would say they are probably not investing enough in oil and gas and are a little reliant on foreign partners for that in some places.

    Lets not forget the decades long trend in oil prices is that they're steadily going up, due to U.S. petrol dollar losing value (thanks Richard Nixon angry ), and the alternative sustainable fuel market has stagnated without any new major breakthroughs or progress. So in short oil will be in high demand for decades to come!

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    Re: Russian Economy General News: #2

    Post  collegeboy16 on Mon Mar 10, 2014 4:29 pm

    yep, demand for fossil fuel will likely go up for the next couple of decades. Heck, the protoss in SC are still using gas and they can teleport and summon black holes at will.  Twisted Evil .

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    Re: Russian Economy General News: #2

    Post  Austin on Tue Mar 11, 2014 7:14 am

    Irrespective how the crisis gets resolved ....... Russia needs to stop pegging its Rouble against USD and gradually move towards Euro &  China.

    China is planning to float its currency in 2015 ......so it makes sense for Russia to peg its rouble against Yuan and Euro .....just keep a small percentage in USD as they do right now for British Pound.

    IF my stastics are right Russia exports $450 Billion of Oil/Gas yearly ....... delinking it to USD would be good for its own economy knowing that it can be prone for sanctions from US.

    Ok got some stastics from CNN Money
    http://money.cnn.com/2014/03/03/news/economy/russia-oil-prices/

    For the Russians, the trade in oil -- and to a lesser extent natural gas -- earns the country 70% of its $515 billion in annual export revenue and accounts for 52% of the federal budget, according to the U.S. Energy information Administration.

    so it comes to around $360 Billion in Oil and Gas Revenue  delinking it to USD and linking it to Euro and Yuan in years ahead will be a good move.

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    Re: Russian Economy General News: #2

    Post  magnumcromagnon on Tue Mar 11, 2014 11:19 am

    Austin wrote:Irrespective how the crisis gets resolved ....... Russia needs to stop pegging its Rouble against USD and gradually move towards Euro &  China.

    China is planning to float its currency in 2015 ......so it makes sense for Russia to peg its rouble against Yuan and Euro .....just keep a small percentage in USD as they do right now for British Pound.

    IF my stastics are right Russia exports $450 Billion of Oil/Gas yearly ....... delinking it to USD would be good for its own economy knowing that it can be prone for sanctions from US.

    Ok got some stastics from CNN Money
    http://money.cnn.com/2014/03/03/news/economy/russia-oil-prices/

    For the Russians, the trade in oil -- and to a lesser extent natural gas -- earns the country 70% of its $515 billion in annual export revenue and accounts for 52% of the federal budget, according to the U.S. Energy information Administration.

    so it comes to around $360 Billion in Oil and Gas Revenue  delinking it to USD and linking it to Euro and Yuan in years ahead will be a good move.

    Here's my points on that issue:

    magnumcromagnon wrote:
    Austin wrote:Irrespective how the crisis gets resolved ....... Russia needs to stop pegging its Rouble against USD and gradually move towards Euro &  China.

    China is planning to float its currency in 2015 ......so it makes sense for Russia to peg its rouble against Yuan and Euro .....just keep a small percentage in USD as they do right now for British Pound.

    IF my stastics are right Russia exports $450 Billion of Oil/Gas yearly ....... delinking it to USD would be good for its own economy knowing that it can be prone for sanctions from US.

    China floating its currency would be a terrible idea, one of the first things to happen would be a massive collective speculative attack against the Yuan, hedge funds would drive it high in the sky for the purpose of wrecking China's export industry! Before back when Bretton Woods was established we had pegged currencies that didn't float so the world economy was far more stable in the 50's-60's than they were in the 70's,80's,90's,00's. Free floating currencies gave the world currency speculative derivative peddling monstrosities such as the Soro's Quantum Fund which was the leading hedge fund that weakened the Euro in favor of the Dollar:

    Hedge funds are ganging up on weaker euro

    Some heavyweight hedge funds have launched large bearish bets against the euro in moves that are reminiscent of trades at the height of the U.S. financial crisis.

    The big bets are emerging amid gatherings such as an exclusive "idea dinner" earlier this month that included hedge-fund titans SAC Capital Advisors LP and Soros Fund Management LLC. During the dinner, hosted by a boutique investment bank at a private townhouse in Manhattan, a small group of all-star hedge-fund managers argued that the euro is likely to fall to "parity"—or equal on an exchange basis—with the dollar.

    The currency wagers signal that big financial players spot a rare trading opening driven by broader market dislocations. The euro, which traded at $1.51 in December, now hovers around $1.3550. With traders using leverage—often borrowing 20 times the size of their bet, accentuating gains and losses— a euro move to $1 could represent a career trade.

    If investors put up $5 million to make $100 million trade, a 5% price move in the right direction doubles their initial investment.

    "This is an opportunity...to make a lot of money," says Hans Hufschmid, a former senior Salomon Brothers executive who now runs GlobeOp Financial Services SA, a hedge-fund administrator in London and New York.

    Through small gatherings, hedge funds can discuss similar trades that can feed on each other, in moves similar to those criticized in the Panic of 2008.

    Then, big hedge-fund managers, such as Greenlight Capital Inc. President David Einhorn, who also was at this month's euro-dominated dinner, determined that the fortunes of Lehman Brothers Holdings and other financial firms were dim and bet heavily against their securities.

    In recent weeks, some traders have compared Greece to Bear Stearns Cos., the first major U.S. investment bank to falter in 2008, and Portugal as the equivalent of Lehman, which flailed for months before collapsing.

    There is nothing improper about hedge funds jumping on the same trade—unless it is deemed by regulators to be collusion.

    Regulators haven't suggested that any trading has been improper. Still, the euro action shows that such loosely coordinated trading is roiling markets.

    An SAC manager, Aaron Cowen, who pitched the group on the bearish bet, said he viewed all possible outcomes relating to the Greek debt crisis as negative for the euro, people familiar with the matter say. SAC's trading position on the euro is unclear. Mr. Cowen declined to comment.

    George Soros, head of a $27-billion fund manager, warned publicly last weekend that if the European union doesn't fix its finances, "the euro may fall apart." Through a spokesman for Soros Fund Management, he declined to comment for this article.

    A Greek finance ministry official declined to comment. A European Commission spokeswoman said the Commission doesn't comment on market rumors, adding that the European Union's executive arm is working toward developing rules to tighten regulation and risk.

    Few traders expect the value of the euro to collapse in the same the way that the British pound did in 1992 amid a large bearish bet by Mr. Soros. In that famous trade, which traders say led to a $1 billion profit, selling led by Mr. Soros pushed the pound's value so low that the Britain was forced to withdraw its currency from Europe's Exchange Rate Mechanism, which tied currencies together within fairly narrow trading bands, which then caused the pound to drop even more sharply.

    Traders estimate that bets for and against the euro account for a huge chunk of the daily $3 trillion global currency market; that's a far cry from 1992, when global daily volume was just $820 billion.

    As in the U.S. financial crisis in 2008, derivatives known as credit default swaps are playing a part in the trades. Some of the largest hedge funds, including Paulson & Co. Inc., which manages $32 billion, have bought such swaps, which act as insurance against a default by Greece on its sovereign debt. Traders view higher swaps prices as warning signs of potential default.

    Since January, the prices of such swaps have nearly doubled, reflecting investors concerns about a default by Greece. Paulson had built a large bearish position on Europe, people familiar with the matter say, including swaps that will pay out if Greece defaults on its debt within five years. But someone familiar with the matter said that more recently, Paulson had become bullish on the euro.

    In a statement, Paulson declined to comment "on individual positions," saying it "does not manipulate or seek to destabilize securities in any markets."

    Late last year, hedge funds bought swaps that insured the debt of Portugal, Italy, Greece and Spain against the risk of default, and began making bearish euro bets. More recently, the hedge funds have sold these swaps to banks looking to "hedge," or protect, their holdings of European government bonds, traders say.

    In the past year, the overall value of swaps insuring default against a Greek debt default has doubled, to $84.8 billion, according to Depository Trust & Clearing Corp. But the net amount that sellers would actually pay in a default rose just modestly over the same period, up only 4% to $8.9 billion, the DTCC says. This suggests that banks and others have bought and sold roughly equal amounts of swaps to hedge their positions, traders say.

    The bigger bet against Europe these days is playing out in the vast foreign-exchange markets, which offers a plethora of ways to trade.

    The focus on the euro began on Dec. 4, when the currency swooned 1.5% following an unexpectedly strong slowdown in the pace of U.S. job losses that buoyed the dollar.

    Between Dec. 9 and Dec. 11, some big European and U.S. banks made bearish calls on the euro by buying one-year euro "puts." Puts give the holder the right to sell an investment at a specified price by a set date.

    The pressure on the euro began building. The currency fell another 1.3% on Dec. 16, when Standard & Poor's downgraded Greek sovereign debt. Around that time, some large investors like asset manager BlackRock Inc. BLK -0.75%  had bearish bets on the euro, believing that it couldn't sustain the levels at which it was then trading and that Europe's financial recovery would lag that of the U.S., according to people familiar with their position.

    The concerns about Greece heightened on Jan. 20, when investors began to worry that the country would be unable to refinance its heavy debt load, causing the euro to fall another 1.3% to around $1.41. By Jan. 22, the cost to insure $10 million of Greek debt against default had risen to $339,000 from $282,000 on Jan. 1.

    That same day, Greece announced it planned a five-year, €8 billion ($10.83 billion) bond sale in the coming days. To stave off speculators, Greece and its investment-bank advisors limited what could be allocated to hedge funds, according to a person familiar with the sale.

    The sale was completed Jan. 25. But by Jan. 28, the value of the new bond had fallen 3.5%, which left investors unhappy.

    At the Feb. 8 dinner in Manhattan, hosted by Monness, Crespi, Hardt & Co., a boutique research and brokerage firm, three portfolio managers spoke about investment themes related to the European debt crisis.

    Donald Morgan, head of hedge-fund Brigade Capital Management LLC, told the group he believed the Greek debt crisis is an early domino to fall in a contagion that eventually will hit states, municipalities and all forms of sovereign debt. Greenlight's Mr. Einhorn, meanwhile, who was among the earliest and most vocal bears on Lehman, said he is bullish on gold because of inflation concerns. Mr. Einhorn declined to comment.

    Three days after the dinner, the euro was hit with another wave of selling, triggering a decline that brought the currency below $1.36.

    Last week, traders from Goldman, J.P. Morgan Chase JPM -0.34%  & Co., Bank of America Corp.'s BAC +0.81%  Merrill Lynch unit, and the British bank Barclays BCS -2.98%  PLC were helping investors place a particularly bearish bet on the euro, traders say.

    The trade involved an inexpensive put option that will provide its holder a big payoff if the euro falls to the level of a single U.S. dollar within a year. Known as a "tail-risk" trade because its probability is low, the euro-dollar parity put is a cheap way of ensuring that if the euro sinks dramatically within a year, an investor will generate big returns.

    In recent days, the parity trade has been shopped around to banks to see which would offer the best deal. A going price for the extremely cheap bet is around 7% of the amount that a parity-trade would pay off. So for an investor seeking a $1 million bet, the cost is a mere $70,000.

    This means that the market currently assigns roughly 14-to-1 odds that parity will be reached. In November, the odds were around 33-to-1, said a person who has seen the pricing for the trade.

    http://online.wsj.com/news/articles/SB40001424052748703795004575087741848074392


    ...Collective speculative currency attacks wouldn't be possible without destroying the Bretton Woods currency pegging system, and massive deregulation of the Securities/Derivatives market, one in particular measure that comes to mind being the repeal of Glass/Steagal law by Bill Clinton. I do agree that Russia should peg it's currency with the Yuan, but not the Euro.

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    Re: Russian Economy General News: #2

    Post  Austin on Tue Mar 11, 2014 11:33 am

    China has enough reserve currency and gold to prevent any runaway speculation from Hedge Fund.

    China also has a huge trading base which will justify its currency to get a reserve currency status.

    Russia certainly can use Chinese Yuan as one of reserve currency because its the 2nd largest partner after EU.

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    Re: Russian Economy General News: #2

    Post  Hannibal Barca on Tue Mar 11, 2014 12:15 pm

    This is the plan Austin it just takes time and in the meantime Russian diplomacy is notorious for keeping her intentions as unclear as possible.
    But it is the way things is gonna go because it is the only logical development.

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    Re: Russian Economy General News: #2

    Post  sepheronx on Wed Mar 12, 2014 3:47 am

    Austin wrote:Irrespective how the crisis gets resolved ....... Russia needs to stop pegging its Rouble against USD and gradually move towards Euro &  China.

    China is planning to float its currency in 2015 ......so it makes sense for Russia to peg its rouble against Yuan and Euro .....just keep a small percentage in USD as they do right now for British Pound.

    IF my stastics are right Russia exports $450 Billion of Oil/Gas yearly ....... delinking it to USD would be good for its own economy knowing that it can be prone for sanctions from US.

    Ok got some stastics from CNN Money
    http://money.cnn.com/2014/03/03/news/economy/russia-oil-prices/

    For the Russians, the trade in oil -- and to a lesser extent natural gas -- earns the country 70% of its $515 billion in annual export revenue and accounts for 52% of the federal budget, according to the U.S. Energy information Administration.

    so it comes to around $360 Billion in Oil and Gas Revenue  delinking it to USD and linking it to Euro and Yuan in years ahead will be a good move.

    I would take CNN with a grain of salt.  I would be more inclined to know what Rosstat says about their own economy.  Those numbers seem over inflated.

    ZG18 usually has better knowledge on this. Wonder were he has been?

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    Re: Russian Economy General News: #2

    Post  Austin on Thu Mar 13, 2014 5:32 am

    Ulyukayev: RF will have to reduce payments in dollars in the case of U.S. sanctions

    "The degree of freedom of the American partners to apply some tough measures much more (than EU - Ed.). I think they did not have to go beyond the introduction of individual sanctions, if they go, it means complication of the system of international payments system of trade relations, payments. This means that we have to work those lines, we used to do - that is, to increase the volume of trade with countries that are calculated national currencies, "- said in an interview on Uljukaev" Russia 24 ".

    "Why in the relationship with China, India, Turkey, we have contracted in dollars? Why do we need it? We have contracted in national currencies - this also applies to energy and other areas," - says the minister.

    "First and foremost it should touch our oil and gas companies that they boldly walked for contracts in rubles and foreign currency of the partner country. I think that now there is an additional impetus to finally finalize this work", - concluded Uljukaev .

    According to him, this also applies to reserve management, and investment cooperation: maximum focus on local currency, on the local financial system - this is the normal way.

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    Re: Russian Economy General News: #2

    Post  Austin on Thu Mar 13, 2014 6:05 pm

    Capital flight from Russia may reach $50 billion per quarter under sanctions

    If the sanctions affect only accounts of certain individuals, enterprises, operations or products, this will be “a mild scenario”, says Alexei Kudrin


    ST. PETERSBURG, March 13. /ITAR-TASS/. Capital flight from Russia in 2014 may reach $50 billion per quarter if harsher sanctions are imposed on the country over the Ukrainian crisis, Alexei Kudrin, a member of the Presidium of the Russian president’s Economic Council, said.

    If the sanctions affect only accounts of certain individuals, enterprises, operations or products, this will be “a mild scenario", Kudrin said at a joint meeting of the presidiums of the Unions of Industrialists and Entrepreneurs of St. Petersburg and the Leningrad Region on Thursday, March 13.

    He recalled that Western sanctions against Russia after the conflict with Georgia in 1998 had lasted about three to six months, and then the situation stabilized. “This may last longer now until the sides find some political solution. So we have to understand that there may be a second wave of sanctions,” Kudrin said.

    “A key difference between the first and the second waves is the restrictions on currency operations carried out by our institutions in the international markets. This does not mean that operations will stop altogether and banks will have to work through correspondent accounts not at American or European banks but maybe in some other countries. We must understand that such measures were used in a number of instances. In this case, capital flight after the second wave [of sanctions] may reach 50 billion in the first and second quarters,” Kudrin said.

    According to Kudrin, the government may help Russian companies, which previously borrowed from foreign banks, obtain loans in Russian banks. “It can use the reserves it has for this purpose. I am not talking about the Reserve Fund or the National Welfare Fund. There are different forms of working with lending institutions, and guarantees are one of them. This range of proposals is being worked out now and may be ready within one to three weeks,” he said.

    http://en.itar-tass.com/economy/723413

    sepheronx
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    Re: Russian Economy General News: #2

    Post  sepheronx on Thu Mar 13, 2014 6:52 pm

    Ah yes, Kurdin, the man who believed in sitting on a matress made of roubles rather than investing. He makes a good point but the mans history leaves a bad taste and I rather take whatever he says with a grain of salt.

    Bad money will leave, no doubt. Oligarches will try to take their money elsewhere like always, and foreign agents will too. Too bad. But for the average person, better off this way. Banks will seek other methods then to keep influx of money in their system. It was a short time ago Russian banks have seen far more transactions, depositing more so, in their banks from average person. This is where the tides turn. Capital flight was always a problem, even last year. Things wont change until the banks and the government put a stop to these theiving oligarches from taking the countries wealth.

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