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…

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…

Russian Trade Balance Worsening

Russian daily Kommersant reports that Russia’s trade balance in May decreased by half compared to the same month last year, to USD 7.53 billion.  Russia exported USD 21.97 billion worth of goods in May, or 28.3% less than a year ago.  Total imports to the country also decreased, by 5.52%, to USD 14.45 billion.  …

Credit Suisse to Shut Down its Private Banking Services in Russia

Referencing Forbes, Lenta.ru reports that Credit Suisse plans to close its private banking department in Russia.  The bank’s private banking clients in the country will have to move their assets to Switzerland if they wish to continue using respective services. Forbes quoted a Swiss banker who compared private banking in Russia to driving a Rolls-Royce…

Bentley and Lamborghini Sales in Russia Grow by More Than 20 Percent

Between January and May 2016, British luxury car maker Bentley sold 114 vehicles in Russia, a 27% increase over the same period last year.  Most of the cars were sold in Moscow and the surrounding region (73). Italian car maker Lamborghini is also doing quite well in Russia: while its worldwide sales in the first…

Russian Tourists in no Rush to Get to Turkey

 Gazeta.ru reports that Russian tour operators registered only an insignificant increase in travel to Turkey after President Putin lifted the ban on sales of organized tours to the country.  Since the coveted destination became accessible, only one of 20 inquiring potential Russian tourists actually bought a trip to Turkey.  A representative of a Russian tour operator stated…

Rusal to Supply Aluminum for the 3D Printing Market

Russian business daily Vedomosti reports that Rusal, one of the world’s largest aluminum producers, entered into an agreement with a German machine tools manufacturer DMG MORI to develop aluminum 3D printing technology.  Rusal will act as a supplier of aluminum powder to DMG MORI and its clients. The cost of aluminum and its compounds used…

Russian Railways to Pay Out Almost All of its Profits as Dividends

Russian daily RBC reports that Russian Railways decided to pay out 95% of its profits as dividends.  The figure is not impressive, – a mere 302 million rubles, or USD 4.7 million, – but the company never paid more than 25% of its profits to the shareholders in the past.  Correction: to the shareholder, as the…

Finance Minister Siluanov Expects the Budget Deficit to Exceed the Target

Russian federal budget deficit reached 4.3% of BDP during the first half of 2016, indicating that the figure for the full year will exceed the planned 3% of BDP, writes Reuters.  Finance Minister Siluanov stated that the deficit will be higher than planned by 420 billion rubles (approximately USD 6.6 billion) and promised that the Reserve…

Russian Utility Bills Will Continue to Rise – But Slower

Russian daily Kommersant writes about the steadily rising utility bills in Russia. Annual price adjustments are scheduled for July and consequently don’t reveal the effect on heating bills until the winter. The good news, however, seems to be that the rises will no longer outpace inflation, at least according to Deputy Prime Minister Dmitry Kozak. Cost…

Russian Government Dumps Business Zones

In today’s edition of Slon.ru, economist Vladislav Inozemtsev writes about President Putin’s decision to stop the expansion of special business zones and close some of the existing ones.  Management of the business zones, as well as their financing, will be transferred to respective local governments.  Russian Accounts Chamber, the government entity in charge of auditing…