Earning and spending like a Muscovite

Living in the Russian capital comes with a cost in time and money

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Still Too Many Banks in Russia, Fitch Agency Says

Russian news agency Rosbalt quotes the Director of the Financial Institutions Analyst Department with Fitch Dmitry Vasilyev who stated that the number of banks in Russia remains too high even after the Central Bank’s recent cleanup. The number of banks was reduced from over 1,000 to approximately 600 within the last couple of years, Vasilyev…

Moscow Facing a USD 3.2 Billion Deficit in 2017

Russian business daily “Vedomosti” reports that the Moscow city budget deficit is expected to reach 218 billion rubles (USD 3.2 billion) in 2017 due to infrastructure development financing requirements. Moscow authorities plan to invest as much as 1.9 trillion rubles (USD 28.1 billion) in infrastructure in the period 2016-2019 after the city halted most of…

Orthodox Banking in Russia

One of the most bizarre news from Russia this week features the General Manager of the troubled “Peresvet” bank Alexander Schvets who ended up in an intensive care unit just as his bank was forced to limit the withdrawal of deposits to 100,000 rubles (USD 1,500) per client. On October 14, TV channel RainTV reported that…

What’s Left of Russian Liquidated Banks

…can be found at https://www.torgiasv.ru/, the specialized site managed by the state Deposit Insurance Agency for the purpose of auctioning off what’s left of Russian failed banks. Slon.ru reports that the Russian Central Bank closed almost one in three banks in Russia since Mrs. Elvira Nabiulina took over its helm. The state Deposit Insurance Agency is…

Rosinterbank Folds and Buries Data on 3000 Clients

Russian business daily Vedomosti reports that approximately 3,000 Rosinterbank’s clients with 5 billion rubles (USD 80.4 million) in deposits might not be able to get their money from the Russian Deposit Insurance Agency after the breakdown of their bank. These clients opened or topped their accounts after July 18, the date on which the Agency…

Vladislav Inozemtsev on Healthcare in Russia

Writing for Slon.ru, Russian economist Vladislav Inozemtsev lists some of the differences between the approach to healthcare in Russia and the West. Starting with the obvious, he writes that developed countries like the United States, Japan, Germany, Israel and Great Britain, as the biggest spenders, set the prices for drugs and medical equipment. While the…

Yandex.Market changes its Game

Russian business daily RBK reported that the leading Russian online search engine Yandex.ru decided to change the rules for featuring products on its marketplace Yandex.Market. The new system gives preference to the products sold directly in Yandex’s store, which is currently the option of choice for approximately 20% of the suppliers present on the marketplace….

Privation on the Rise in Russia

Gazeta.ru reports that the disposable real income in Russia dropped by 8.3% on a yearly basis in August 2016. This turns out to be an even worse drop than the one registered in August 2009, when the disposable income fell by 8.2%. Real income in Russia continues to fall at an increasing rate – the…

Russia Adds Salt to the Sanctions List

…but not just to hurt the biggest exporter of salt to Russia that happens to be Ukraine.  Business daily Vedomosti reports that the Russian Government added salt to the list of banned imports, a countermeasure to the western sanctions introduced after Russia annexed Crimea in March 2014. Salt suppliers from the Ukraine, United States, European…