Russian GDP performance in October reveals less than desirable tendencies

Today’s edition of Kommersant writes about the report published by the Russian Ministry of Economy, indicating a lukewarm performance of Russia’s GDP in October. Seasonally adjusted GDP growth in October was close to zero (0.1 percent), down from a 0.4 percent growth in September. Industrial output in October declined by 0.7 percent, with only two of…

Longer working hours for the Moscow Exchange

Gazeta.ru reports that the Moscow Exchange prepares to extend its evening trading sessions to match their closing to that of the Chicago Mercantile Exchange. According to Gazeta.ru, the Moscow Exchange already decided to extend the evening session of its FORTS derivatives market to 1:15 AM Moscow Standard Time during the winter season and to 0:15 AM during the…

Russian business statistics from a different angle

Online daily magazine Slon.ru published the first in the series of articles on realities of doing business in Russia. It begins by establishing that the ownership issues are one of the main obstacles discouraging the inflow of foreign capital into the Russian economy, comparable to that of corruption. And while there are indications that the…

Own and operate a Moscow mansion for 1 ruble

Today’s edition of Vedomosti writes about a proposal by the Russian Ministry of Culture to lease and/or sell real estate categorized as historical heritage for a symbolic price and a commitment from the lesee or purchaser to finance its full reconstruction. There are concerns that the scheme will be tested on selected Moscow mansions that are…

Russian Government to accept the transportation infrastructure development plan

Today’s Russian daily Gazeta reports that the Russian Government plans to invest as much as 7.3 trillion rubles (USD 234 billion) into the country’s transport infrastructure in the period 2013-2020. If the Government accepts the investment program prepared by the Ministry of Transportation, most of the allocated sum will be used for the construction and repair of…

Russian companies at a discount

Russian business daily Vedomosti looked at how foreign investors value publicly traded Russian companies and found that they trade at a noticeable discount compared to their peers in China, Turkey, Brasil, South Africa and some other countries. Experts were quoted saying that the discount amounts to as much as 50 percent, half of which is…

The search for the ideal mortgage rate continues

According to today’s edition of Kommersant, the Russian Agency for Housing Mortgage Lending will increase its lowest mortgage rate in 2013 by approximately one percent. The rate which was set in accordance with the Presidential requirement is currently calculated by adding 2.2 percent to the inflation rate. The Agency stated that the rate hike is motivated…

Medvedev not happy with his cabinet’s attitude towards the Constitutional Court

According to today’s edition of Gazeta.ru, Russian Prime Minister Medvedev is not happy with his cabinet’s attitude towards decisions made by the Constitutional Court, as his ministers seem to be taking their time in building those decisions into relevant statutes. Medvedev was quoted saying that “more than 200 bylaws that should have been enacted in accordance with the…

Russian Government-owned companies to get rid of non-core assets

Russian daily Kommersant reports that the Russian Government asked its representatives in 63 state-owned companies to call respective shareholders’ assemblies until December 20 and vote for the Government’s program to sell non-core assets in those companies. The 63 entities can be found on the list of state-owned companies and their subsidiaries published in January 2003 (http://www.rg.ru/bussines/docum/72.shtm,…

Comments on the state of the Russian nation: not so well off after all

It was probably to be expected that the report „Farewell, poverty“ published by the Moscow’s Center for Strategic Research last week, as well as occasional articles in the foreign press admiring the commercial bustle of large Russian cities, will provoke a response or two in the Russian media. Russian business daily Vedomosti  warns that the…

Moscow’s Center for Strategic Research: Russia says farewell to poverty

Today’s gazeta.ru published a review of the study performed by the Moscow’s Center for Strategic Research (CSR), a non-governmental and non-commercial organization, which concludes that Russia defeated poverty and turned into a consumer society. Judging by the comments, the public met the report with scepticism, pointing to inadequate methodology and superficial approach to the subject…