Ministry of Finance Vaccums All Cash

27.09.2010

Rampant government's borrowing activities in the national market left corporates no chances to successfully offer their bonds.

The recovery in the segment of corporate bonds, which was anticipated this autumn has been delayed for uncertain period.

Investors prefer less risky and more lucrative VAT bonds to corporate bonds. Until the flurry over the government bonds subsides, no more than 5 or 6 companies will be capable of raising funds from the national market out of over 30 of those in desire.

Olga Shubina, a Credit-Rating's Director for Rating Research Department in a talk with Kommentariyi.

 

The article is given in Russian

Olga Shubina, source: Сomments