The CBR spent 2.62 trillion rubles on sanation of large banks and could spend another

The Central Bank of the Russian Federation in 2017 spent 2.62 trillion rubles on the rehabilitation of three private banking groups. This was told by the Chairman of the Bank of Russia Elvira Nabiullina. This is five times more than Russia's annual spending on education.
06.06.2018
Origin source
The Central Bank of the Russian Federation has already spent 2.62 trillion rubles on the rehabilitation of three private banking groups, Elvira Nabiullina, chairman of the Central Bank of Russia, said in an interview with Reuters.

"A considerable amount has been spent on the rehabilitation of three banking groups. Basically, it is final, "she said, without excluding the additional costs for the fund of distressed assets.

According to Nabiullina, the CBR contributed 758.3 billion rubles to the capital of sanated banks, and provided them with 1.86 trillion rubles in deposits.

At the end of last year, the deputy chairman of the Central Bank Vasily Pozdyshev estimated the potential expenditure modestly - slightly more than 1 trillion rubles for all three sanitized banking groups.

Most of the deposits allocated by the Central Bank - 1.5 trillion rubles - were received by Trust, Growth Bank and Avtovazbank, which are planned to unite and create on their basis a bank of distressed assets. These funds can be returned in case of sale of assets to outside investors, which counts Nabiullina.

In addition, the deposits of the CBR were received for a period of 180 days by FC Opening (111.6 billion rubles) and Promsvyazbank (245 billion rubles), follows from the Russian banks' statements as of May 1.

However, the creation of a fund of distressed assets may require additional deposits, Nabiullina admits.

"At present, the issue of providing additional funds in the form of deposits for the formation of a bank of non-core assets and transfer to its balance of non-core and problem assets of Discovery and Binbank is being considered," she said.

Also, according to Nabiullina, there may be adjustments in connection with the clarification of the value of the assets of banking groups, but they will not be large.