I think Chris Doss's remarks on Russian banking worries (and I think they
are in the worry, not crisis,category) are a little too non-chalant..

The Guta bank is/was/had been considered one of the "sounder" banks in the
Russian financial network, with higher quality loans/assets to better
performing Russian businesses.  So its closing to prevent depositor runs,
the interruption of electronic transfers, etc. is of significance to the
international financial network which wants to conduct its business through
"legitimized," "capitalized" institutions.

Also, Russian  bank business loans measure out at about 21 percent of annual
GDP, nowhere near Thailand's 75% but right in line with Indonesia's measure,
which almost says it all.

OAO Sherbank (at least that's how I read the name) has about 50% of all
deposits and 25% of all assets in the Russian banking system.

Reply via email to