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THE CENTRAL BANK OF THE RUSSIAN FEDERATION BULLETIN OF BANKING STATISTICS MOSCOW 2004 № 11 (138)

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Page 1: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

THE CENTRAL BANK OF THE RUSSIAN FEDERATION

BULLETINOF BANKING STATISTICS

MOSCOW 2004

№ 11 (138)

Page 2: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

The founder — Central Bank of the Russian Federation107016, Moscow, Neglinnaya str., 12

The Central Bank of the Russian Federation Internet address: http://www.cbr.ruTelefax: (7�095) 771�41�62, Fax: (7�095) 921�51�91, E�mail: [email protected]

Registered by the Press Committee of the Russian FederationRegistration Number 012267

© Copyright: Central Bank of the Russian Federation, 1994

Publisher and distributor: Business news agency Prime�TASSAddress subscription requests to: 125009, Moscow, Tverskoy blvrd., 2

Telephone: 974�7664, Telefax: 292�3690Printed by Novosti Press

Page 3: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

1BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 4: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

2BULLETIN OF BANKING STATISTICS № 11 (138)

Contents

Advance release calendar of the Bank of Russia’s data according to the requirementsof the IMF Special Data Dissemination Standard (SDDS) ............................................................................................ 1

1. Major Macroeconomic and Monetary Indicators1.1 Macroeconomic Indicators .......................................................................................................... 5

1.2 Individual Indicators of State�financed Sector .................................................................................. 6

1.3 Sources of Funding the Federal Budget .......................................................................................... 7

1.4 The Russian Federation Balance of Payments* ................................................................................. 9

1.5 Net Outflow of Private Sector Capital (based on the balance of payments, flows data) ............................. 15

1.6 External Debt of the Russian Federation (vis�a�vis Non�Residents)* .................................................... 16

1.7 External Debt of the Russian Federation in Domestic and Foreign Currencies* ....................................... 17

1.8 External Debt of the Russian Federation by Maturity* ....................................................................... 18

1.9.1 International Investment Position of Russia for 2000—2003:external assets and liabilities at end of period* ................................................................................ 19

1.9.2 International Investment Position of Russia for 2003* ....................................................................... 24

1.10 International Investment Position of the Banking Sector of Russia* ...................................................... 29

1.11 The Russian Federation Merchandise Trade (Based on the Balance of Payments Methodology)* ............... 31

1.12 Gross International Reserves* ..................................................................................................... 32

1.13 International Reserves and Foreign Currency Liquidity — Russia* ........................................................ 33

1.14 Analytical Accounts of Monetary Authorities* .................................................................................. 37

1.15 Analytical Accounts of Credit Institutions ....................................................................................... 38

1.16 Monetary Survey* ..................................................................................................................... 40

1.17 Money Supply (National Definition) ............................................................................................... 41

1.18 Broad Monetary Base ................................................................................................................ 42

2. Major Indicators and Instruments of the Bank of Russia Monetary Policy2.1 Bank of Russia Balance Sheet ...................................................................................................... 43

2.2 Refinancing Rate* ..................................................................................................................... 44

2.3 Required Reserves Ratios ........................................................................................................... 44

2.4 Major indicators of the Bank of Russia intraday and overnight loans General provisions ........................... 45

2.5 Major Indicators Characterising Bank of Russia Operations on Holding Lombard Loan Auctions ................. 46

2.6 Average Weighted Interest Rates on Bank of Russia Deposit Operations on Money Market ....................... 47

2.7 Structure of Funds Borrowed in Bank of Russia Deposit Operations on Money Market ............................. 48

2.8 Major Characteristics of Bank of Russia Deposit Auctions .................................................................. 49

2.9 REPO Aggregates ..................................................................................................................... 50

2.10 Main Characteristics of Modified Reverse REPO Auctions .................................................................. 51

2.11 REPO securities market .............................................................................................................. 52

2.12 Official US Dollar to Ruble Rate* ................................................................................................... 53

2.13 Official Euro to Ruble Rate ........................................................................................................ 55

2.14 Official US Dollar to Ruble Rate (as of end of month) ..................................................................... 57

2.15 Average Monthly Official US Dollar to Ruble Rate .......................................................................... 58

2.16 Accounting Prices of Precious Metals ......................................................................................... 59

3. Financial Markets3.1 Interbank Credit Market

3.1.1 Monthly Average Moscow Interbank Bid Rates (MIBID),Monthly Average Moscow Interbank Offered Rates (MIBOR)and Monthly Weighted Average Moscow Interbank Actual Credit Rates (MIACR) ............................................ 60

3.1.2 Daily Average Moscow Interbank Bid Rates (MIBID)Daily Average Moscow Interbank Offered Rates (MIBOR)and Daily Weighted Average Moscow Interbank Actual Credit Rates (MIACR)* ............................................... 61

3.2 Exchange Market

3.2.1 US Dollar Trade at Interbank Currency Exchange ......................................................................................... 62

3.2.2 Euro Trade at Interbank Currency Exchange ................................................................................................ 64

3.2.3 Average Daily Turnover of Interbank Spot Conversation Transactions (in all currencies) ................................. 65

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3BULLETIN OF BANKING STATISTICS № 11 (138)

3.2.4 Average Daily Turnover of Interbank Spot Conversation Transactions(RF rouble against other currencies) ........................................................................................................... 66

3.2.5 Average Daily Turnover of Interbank Spot Conversation Transactions(US dollar against other currencies) ............................................................................................................ 67

3.2.6 Average Daily Turnover of Interbank Spot Conversation Transactions (Euro against other currencies) ............. 68

3.2.7 Foreign Cash Flow Through Authorized Banks Across Russia ........................................................................ 69

3.2.8 Selected Indicators Featuring Foreign Cash Transactions by Authorized Banks’ Exchange Offices .................. 71

3.2.9 Average Foreign Cash Purchase and Sale Transactions with Individualsby Authorized Banks and Their Branches ..................................................................................................... 73

3.3 Major Features of Transactions in Government Securities

3.3.1 Main Highlights of Auctions for GKO—OFZ Placement .................................................................................. 74

3.3.2 Data on Redemptions and Coupon Payments on Government Securities ....................................................... 74

3.3.3 Term Structure of Bonded Debt (the GKO—OFZ part thereof) ....................................................................... 75

3.3.4 Major Parameters of the GKOs—OFZs Secondary Market ............................................................................. 76

3.3.5 Average Weighted Interest Rates on Government Securities Market* ............................................................ 79

3.4 Some Corporate Securities Market Indices* ................................................................................... 80

4. Credit Institutions Performance4.1 General Description

4.1.1 Number and Structure of Credit Institutions ................................................................................................. 81

4.1.2 Number of operating credit institutions with non�residents’ participation in the authorized capitallicensed by the Bank of Russia .................................................................................................................... 84

4.1.3 Credit Institutions Grouped by Registered Authorized Capital ....................................................................... 85

4.1.4 Groupings of operating credit institutions by the share of non�residents’ participationin the authorized capital .............................................................................................................................. 86

4.1.5 Selected Indicators of Credit Institutions Performance Grouped by Assets .................................................... 87

4.1.6 Financial Performance of Credit Institutions (with taking into account profit/losses of previous years) ............. 88

4.1.7 Financial performance of credit institutions (from the beginning of the year net of profit/lossesof previous years) ....................................................................................................................................... 89

4.2 Borrowings

4.2.1 Deposits .................................................................................................................................................... 90

4.2.2 Average Weighted Interest Rates on Nonfinancial Organizations’ and Personal Deposits in Rubles ................. 92

4.2.3 Average Weighted Interest Rates on Nonfinancial Organizations’ and Personal Deposits in US Dollars ............ 93

4.2.4 Average Weighted Interest Rates on Interbank Deposits in Rubles and in US Dollars ...................................... 94

4.2.5 Deposit and Savings Certificates and Bonds ................................................................................................ 95

4.2.6 Average Weighted Interest Rates on Deposit and Savings Certificates and Bonds .......................................... 96

4.2.7 Funds Owned by Legal Entities and Individuals and Raised Through Bills ....................................................... 97

4.2.8 Average Weighted Interest Rates on Bills ..................................................................................................... 98

4.3 Lending

4.3.1 Corporate, Interbank and Personal Loans .................................................................................................... 99

4.3.2 Average Weighted Interest Rates on Nonfinancial Organizations’ and Personal Loans in Rubles .................... 100

4.3.3 Average Weighted Interest Rates on Nonfinancial Organizations’ and Personal Loans in US Dollars .............. 101

4.3.4 Average Weighted Interest Rates on Interbank Loans in Rubles and in US Dollars ......................................... 102

4.3.5 Structure of Credit Institutions’ Investment in Securities ............................................................................. 103

4.3.6 Discounted Bills ....................................................................................................................................... 105

4.3.7 Average Weighted Interest Rates on Discounted Bills ................................................................................. 106

4.4 Credit Institutions’ Claims and Liabilities on Financial Derivatives ..................................................... 108

5. Selected Indicators Characterising the State of Russia’s Payment System5.1 Payments Effected by the Russian Payment System General Provisions ............................................. 111

5.2 Payments Effected by Bank of Russia Payment System and Private Payment Systemsby Method of Payment ............................................................................................................. 112

5.3 Data on Customers Members of Bank of Russia Payment System Exchanging Electronic Documentswith Bank of Russia ................................................................................................................. 113

5.4 No. of Participants (Users) in Bank of Russia Intraregional and Interregional Electronic Settlements ........ 114

5.5 Value of Backlogs of Settlement Documents Unpaid Owing to Lack of Fundsin Correspondent Accounts (Subaccounts) of Operating Credit Institutions (Branches) ......................... 115

5.6 Selected Indicators Characterising Transactions Implemented Using Bank Cards ................................. 116

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4BULLETIN OF BANKING STATISTICS № 11 (138)

6. Charts and Diagrams6.1 International Reserves Adequacy Ratio (International Reserves in Month of Import) ........................ 117

6.2 Interest Rates Dynamics in January, 2004 —October, 2004 ......................................................... 117

6.3 Grouping Credit Institutions — Counterparties of the Bank of Russia on Bank of RussiaDeposit Operations in the Russian Federation Currency by Size of Registered Authorized Capitalas of 31.10.2004 ................................................................................................................... 118

6.4 Grouping Credit Institutions which Concluded a General Loan Agreementwith the Bank of Russia by Size of Registered Authorized Capital as of 31.10.2004 .......................... 118

6.5 Structure of Broad Monetary Base as of 31.12.2003 ................................................................... 119

6.6 Structure of Broad Monetary Base as of 31.10.2004 ................................................................... 119

6.7 Official Ruble Exchange Rate Dynamics in January, 2000 — October, 2004 .................................... 120

6.8 Operating Credit Institutions Grouped by Registered Authorized Capital ........................................ 120

6.9 Comparative Data on Major Sources of Borrowing by Credit Institutions as of 30.09.2004(Based on Credit Institutions Grouped by Assets) .......................................................................... 121

6.10 Comparative Data on Major Allocations of Funds by Credit Institutions as of 30.09.2004(Based on Credit Institutions Grouped by Assets) .......................................................................... 121

6.11 Structure of Personal Deposits as of 30.09.2003 ........................................................................ 122

6.12 Structure of Personal Deposits as of 30.09.2004 ........................................................................ 122

6.13 Dynamics of Debt on Credits Extended ...................................................................................... 123

6.14 Ratio Dynamics between Payments Value of Credit Institutions (Branches) and Cash Balancesin Their Correspondent Accounts (Subaccounts) with Bank of Russia in 2004 Q3 ............................ 123

6.15 Ruble Credits Extended to Legal Entities (by Economic Sector) and Individuals as of 30.09.2004 ....... 124

6.16 Foreign Currency Credits Extended to Legal Entities (by Economic Sector)and Individuals as of 30.09.2004 .............................................................................................. 124

7. Summary Methodology........................................................................................... 125

The procedure for publication of some table indicators marked with (*) is in compliance with the IMFSpecial Data Dissemination Standard (SDDS).

Symbols and notes:— nil... not available0,0 and 0,00 non�significant volume

In some cases minor discrepancies between totals and sums of items are due to rounding.Figures in bold are revisions to previously published data.

The Bulletin of Banking Statistics on the Internet can be found on the Central Bank of Russia Internetwebsite http://www.cbr.ru.

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5BULLETIN OF BANKING STATISTICS № 11 (138)

1. MAJOR MACROECONOMIC AND MONETARY INDICATORS

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6BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 9: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

7BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 10: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

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Page 11: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

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Page 12: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

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Page 13: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

11BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 14: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

12BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 15: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

13BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 16: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

14BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 17: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

15BULLETIN OF BANKING STATISTICS № 11 (138)

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16BULLETIN OF BANKING STATISTICS № 11 (138)

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17BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 25: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

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Page 26: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

24BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 27: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

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Page 28: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

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Page 29: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

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Page 30: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

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Page 31: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

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Page 32: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

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Page 34: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

32BULLETIN OF BANKING STATISTICS № 11 (138)

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01.13 833,701 866,68 1 3 037,3 539,61

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33BULLETIN OF BANKING STATISTICS № 11 (138)

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rehtO.6.2 1.968

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34BULLETIN OF BANKING STATISTICS № 11 (138)

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35BULLETIN OF BANKING STATISTICS № 11 (138)

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36BULLETIN OF BANKING STATISTICS № 11 (138)

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37BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 40: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

38BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 41: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

39BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 42: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

40BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 43: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

41BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 44: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

42BULLETIN OF BANKING STATISTICS № 11 (138)

81.

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Page 45: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

43BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 46: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

44BULLETIN OF BANKING STATISTICS № 11 (138)

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4002.80.1 — 2 5.3

Page 47: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

45BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 48: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

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Page 49: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

47BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 50: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

48BULLETIN OF BANKING STATISTICS № 11 (138)

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49BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 52: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

50BULLETIN OF BANKING STATISTICS № 11 (138)

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51BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 54: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

52BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 55: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

53BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 56: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

54BULLETIN OF BANKING STATISTICS № 11 (138)

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2—

Page 57: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

55BULLETIN OF BANKING STATISTICS № 11 (138)

31.

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3

Page 58: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

56BULLETIN OF BANKING STATISTICS № 11 (138)

dn

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Page 59: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

57BULLETIN OF BANKING STATISTICS № 11 (138)

41.

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Page 60: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

58BULLETIN OF BANKING STATISTICS № 11 (138)

51.

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Page 61: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

59BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 62: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

60BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 63: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

61BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 64: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

62BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 70: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

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Page 71: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

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Page 78: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

76BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 79: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

77BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 80: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

78BULLETIN OF BANKING STATISTICS № 11 (138)

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79BULLETIN OF BANKING STATISTICS № 11 (138)

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80BULLETIN OF BANKING STATISTICS № 11 (138)

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86BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 89: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

87BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 90: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

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Page 91: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

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Page 92: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

90BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 93: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

91BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 94: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

92BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 95: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

93BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 96: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

94BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 97: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

95BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 98: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

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Page 99: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

97BULLETIN OF BANKING STATISTICS № 11 (138)

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100BULLETIN OF BANKING STATISTICS № 11 (138)

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101BULLETIN OF BANKING STATISTICS № 11 (138)

3.3.

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Page 104: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

102BULLETIN OF BANKING STATISTICS № 11 (138)

4.3.

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Page 105: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

103BULLETIN OF BANKING STATISTICS № 11 (138)

5.3.

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104BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 107: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

105BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 108: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

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Page 109: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

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Page 110: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

108BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 111: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

109BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 112: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

110BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 113: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

111BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 114: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

112BULLETIN OF BANKING STATISTICS № 11 (138)

2.5

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Page 115: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

113BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 116: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

114BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 117: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

115BULLETIN OF BANKING STATISTICS № 11 (138)

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Page 118: BULLETIN OF BANKING STATISTICS - cbr.ru · 1 BULLETIN OF BANKING STATISTICS № 11 (138) Advance release calendar of the Bank of Russia’s data according to the requirements of the

116BULLETIN OF BANKING STATISTICS № 11 (138)

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24

62

,1

32

83

16

4,

09

81

1,

95

35

3,

03

5

3Q

13

,3

10

69

4,

10

79

64

,6

00

72

,5

96

42

14

4,

72

50

1,

59

93

3,

23

5

1.)r

aey(

retr

au

qg

nitn

uocc

ar

etfa

gni

woll

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ht,

eta

dtsrif

eht

fo

sa

det

acid

nier

as

drac

kn

ab

fo

ytitn

au

qn

oat

ad

eh

T

2.s

drac

gnik

na

bhti

we

da

mst

ne

mya

ps

mots

ucn

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are

po

eht

de

dulc

ni2

00

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or

etra

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dn

2e

htm

orfg

nitrat

S

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117BULLETIN OF BANKING STATISTICS № 11 (138)

6. CHARTS AND DIAGRAMS

6.1. International Reserves Adequacy Ratio (international reserves in months of import)

1,6

1,9

1,2

2,8

2,12,6

3,42,9

2,0

2,6

3,5

4,4 4,74,8

5,8

5,6

5,8

5,3

6,6 6,4

6,05,9

7,9 8,0

6,7

7,8

9,8

8,5

2,7

2,7

2,3 2,22,1

2,9

2,0

2,22,1

1,9

1,9

1,0

1,2

2,5

0

1

2

3

4

5

6

7

8

9

10

Q1

19

94

Q2

19

94

Q3

19

94

Q4

19

94

Q1

19

95

Q2

19

95

Q3

19

95

Q4

19

95

Q1

19

96

Q2

19

96

Q3

19

96

Q4

19

96

Q1

19

97

Q2

19

97

Q3

19

97

Q4

19

97

Q1

19

98

Q2

19

98

Q3

19

98

Q4

19

98

Q1

19

99

Q2

19

99

Q3

19

99

Q4

19

99

Q1

20

00

Q2

20

00

Q3

20

00

Q4

20

00

Q1

20

01

Q2

20

01

Q3

20

01

Q4

20

01

Q1

20

02

Q2

20

02

Q3

20

02

Q4

20

02

Q1

20

03

Q2

20

03

Q3

20

03

Q4

20

03

Q1

20

04

Q2

20

04

mo

nth

s o

f im

po

Actual international reserves adequacy ratioInternationally recognized adequacy ratio

6.2. Interest Rates Dynamics in January, 2004 — October, 2004

0

5

10

15

20

25

05.01.2

004

20.01.2

004

03.02.2

004

17.02.2

004

03.03.2

004

18.03.2

004

01.04.2

004

15.04.2

004

29.04.2

004

18.05.2

004

01.06.2

004

16.06.2

004

30.06.2

004

14.07.2

004

28.07.2

004

11.08.2

004

25.08.2

004

08.09.2

004

22.09.2

004

6.10.2

004

20.10.2

004

% p

.a.

Yield on GKOs with maturities of up to 90 days Weighted average REPO rate

Interbank rate (overnight) Bank of Russia credit rate (overnight)

Bank of Russia deposit rate

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118BULLETIN OF BANKING STATISTICS № 11 (138)

6.3. Grouping Credit Institutions�Counterparties of the Bank of Russia on Bank of Russia Deposit Operations in the Russian Federation Currency

by Size of Registered Authorised Capital as of 31.10.2004

11.4%

9.9%3.8%

45.8%

15.2%

14.0%

Less than10 million rubles From 10 million to 30 million rubles

From 30 million to 60 million rubles From 60 million to150 million rubles

From 150 million to 300 million rubles From 300 million rubles and more

6.4.Grouping Credit Institutions which Concluded General Loan Agreement with the Bank of Russia

by Size of Registered Authorised Capital as of 31.10.2004

2.5%10.8%

11.4%

14.6%

13.9%

46.8%

Less than10 million rubles From 10 million to 30 million rubles

From 30 million to 60 million rubles From 60 million to150 million rubles

From 150 million to 300 million rubles From 300 million rubles and more

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119BULLETIN OF BANKING STATISTICS № 11 (138)

6.5. Structure of Broad Monetary Base as of 31.12.2003

63.97%15.93%

13.97%4.56% 1.57%

Cash in circulation, including cash balances in bank vaultsCredit institutions’ correspondent accounts in Bank of RussiaRequired reservesBank deposits with Bank of RussiaBank of Russia obligations on reverse repurchase of securities

6.6. Structure of Broad Monetary Base as of 31.10.2004

72,99%

12,55%

6,15%4,54% 3,57%

0,19%

Cash in circulation, including cash balances in bank vaultsCredit institutions’ correspondent accounts in Bank of RussiaRequired reservesBank deposits with Bank of RussiaBank of Russia obligations on reverse repurchase of securitiesReserve funds for foreign exchange operations deposited with the Bank of Russia

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120BULLETIN OF BANKING STATISTICS № 11 (138)

6.7. Official Ruble Exchange Rate Dynamics in January, 2000 — October, 2004

22

24

26

28

30

32

34

36

38

1.0

1.2

00

08

.02

.20

00

17

.03

.20

00

24

.04

.20

00

1.0

6.2

00

09

.07

.20

00

16

.08

.20

00

23

.09

.20

00

31

.10

.20

00

8.1

2.2

00

01

5.0

1.2

00

12

2.0

2.2

00

11

.04

.20

01

9.0

5.2

00

11

6.0

6.2

00

12

4.0

7.2

00

13

1.0

8.2

00

18

.10

.20

01

15

.11

.20

01

23

.12

.20

01

30

.01

.20

02

9.0

3.2

00

21

6.0

4.2

00

22

4.0

5.2

00

21

.07

.20

02

8.0

8.2

00

21

5.0

9.2

00

22

3.1

0.2

00

23

0.1

1.2

00

27

.01

.20

03

14

.02

.20

03

24

.03

.20

03

1.0

5.2

00

38

.06

.20

03

16

.07

.20

03

23

.08

.20

03

30

.09

.20

03

7.1

1.2

00

31

5.1

2.2

00

32

2.0

1.2

00

42

9.0

2.2

00

47

.04

.20

04

15

.05

.20

04

22

.06

.20

04

30

.07

.20

04

6.0

9.2

00

41

4.1

0.2

00

4

rub

le

Official US Dollar to Ruble Exchange Rate

Official Euro to Ruble Exchange Rate

6.8. Operating Credit Institutions Grouped by Registered Authorized Capital

0

10

20

30

40

50

60

70

80

90

100

31

.01

.20

00

31

.03

.20

00

31

.05

.20

00

31

.07

.20

00

30

.09

.20

00

30

.11

.20

00

31

.01

.20

01

31

.03

.20

01

31

.05

.20

01

31

.07

.20

01

30

.09

.20

01

30

.11

.20

01

31

.01

.20

02

31

.03

.20

02

31

.05

.20

02

31

.07

.20

02

30

.09

.20

02

30

.11

.20

02

31

.01

.20

03

31

.03

.20

03

31

.05

.20

03

31

.07

.20

03

30

.09

.20

03

30

.11

.20

03

31

.01

.20

04

31

.03

.20

04

31

.05

.20

04

31

.07

.20

04

30

.09

.20

04

% s

ha

re o

f to

tal n

um

be

r o

f o

pe

ratin

g c

red

it in

stitu

tion

s

Less than 3 million rubles From 3 million to 10 million rubles From 10 million to 30 million rubles

From 30 million to 60 million rubles From 60 million to 150 million rubles From 150 million to 300 million rubles

From 300 million rubles and more

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121BULLETIN OF BANKING STATISTICS № 11 (138)

0

20

40

60

80

100

% s

ha

re o

f b

orr

ow

ing

s (f

rom

ma

jor

sou

rce

s)

1—5 6—20 21—50 51—200 201—1,000 1,001— 1,314

Credit institutions grouped by assets

6. 9. Comparative Data on Major Sources of Borrowing by Credit Institutions as of 30.09.2004

(Based on Credit Institutions Grouped by Assets)

Negotiable debt Personal depositsBudgetary funds with banksCorporate funds with banks

0

20

40

60

80

100

% s

ha

re o

f m

ajo

r a

lloca

tion

s

1—5 6—20 21—50 51—200 201—1 000 1,001— 1,314Credit institutions grouped by assets

6.10. Comparative Data on Major Allocations of Funds by Credit Institutions as of 30.09.2004

(Based on Credit Institutions Grouped by Assets)

Investment in shares and equity interest of resident corporations (except banks)Investment in billsInvestment in government securities

Credits extended to banksPersonal loansCorporate loans

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6.11. Structure of personal deposits as of 30.09.200319.46%

0.08%

3.14%19.22%

15.04%

40,92%

2.13%

Demand deposits

Up to 30 days

31 to 90 days

91 to 180 days181 days to 1 year

1 year to 3 years

3 years and more

6.12. Structure of personal deposits as of 30.09.2004

16.67%

10.46%

13.19%

52.13%

5.52%0.16% 1.86%

Demand deposits

Up to 30 days

31 to 90 days

91 to 180 days

181 days to 1 year

1 year to 3 years

3 years and more

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6.13. Dynamics of Debt on Credits Extended

0

500

1,000

1,500

2,000

2,500

3,000

3,500

4,0003

1.0

1.2

00

03

1.0

3.2

00

03

1.0

5.2

00

03

1.0

7.2

00

03

0.0

9.2

00

03

0.1

1.2

00

03

1.0

1.2

00

13

1.0

3.2

00

13

1.0

5.2

00

13

1.0

7.2

00

13

0.0

9.2

00

13

0.1

1.2

00

13

1.0

1.2

00

23

1.0

3.2

00

23

1.0

5.2

00

23

1.0

7.2

00

23

0.0

9.2

00

23

0.1

1.2

00

23

1.0

1.2

00

33

1.0

3.2

00

33

1.0

5.2

00

33

1.0

7.2

00

33

0.0

9.2

00

33

0.1

1.2

00

33

1.0

1.2

00

43

1.0

3.2

00

43

1.0

5.2

00

43

1.0

7.2

00

43

0.0

9.2

00

4

bill

ion

ru

ble

s

—30

—16

—2

12

26

40

54

68

82

%

Debt on loans to banks

Debt on personal loans

Debt on corporate loans

Overdue debt on loans as % at the beginning of the 2000 year (right�hand scale)

6.14. Ratio Dynamics between Payments Value of Credit Institutions (Branches) and Cash Balances in Their Correspondent Accounts (Subaccounts)

with Bank of Russia in 2004 Q3

0

100

200

300

400

500

600

01

.07

.20

04

05

.07

.20

04

07

.07

.20

04

09

.07

.20

04

13

.07

.20

04

15

.07

.20

04

19

.07

.20

04

21

.07

.20

04

23

.07

.20

04

27

.07

.20

04

29

.07

.20

04

02

.08

.20

04

04

.08

.20

04

06

.08

.20

04

10

.08

.20

04

12

.08

.20

04

16

.08

.20

04

18

.08

.20

04

20

.08

.20

04

24

.08

.20

04

26

.08

.20

04

30

.08

.20

04

01

.09

.20

04

03

.09

.20

04

07

.09

.20

04

09

.09

.20

04

13

.09

.20

04

15

.09

.20

04

17

.09

.20

04

21

.09

.20

04

23

.09

.20

04

27

.09

.20

04

29

.09

.20

04

bill

ion

ru

ble

s

Value of Payments Debited by Bank of Russia to Correspondent Accounts (Subaccounts) of Credit Institutions (Branches)Cash Balances in Correspondent Accounts (Subaccounts) of Credit Institutions (Branches) with Bank of Russia

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124BULLETIN OF BANKING STATISTICS № 11 (138)

6.15. Ruble Credits Extended to Legal Entities (by Economic Sector) and Individuals

as of 30.09.200424.25%

3,89%

4.23%

21.67%5.01%

23.38%

17.59%

Industry Agriculture Construction Trade

Transport Other sectors Individuals

6.16. Foreign Currency Credits Extended to Legal Entities (by Economic Sector) and Individuals as of 30.09.2004

42.44%

0.77%4.91%

14.39%

5.78%

23.07%

8.64%

Industry Agriculture Construction Trade

Transport Other sectors Individuals

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125BULLETIN OF BANKING STATISTICS № 11 (138)

7. SUMMARY METHODOLOGY

Section 1. Major Macroeconomic and Monetary Indicators

Table 1.1Macroeconomic Indicators

General Provisions

The “Macroeconomic Indicators” table contains major (in�dicative) indicators characterizing the country’s macroeconomicsituation.

Individual Indicators Highlights

Gross domestic product (GDP) — end result of residentproducers’ economic operations for the reporting period.

The GDP can be calculated on the basis of three methods:production method, end use method, and income distributionmethod.

The table presents GDP calculated by production method asa difference between overall output of goods and services acrossthe country, on the one hand, and intermediate consumption, onthe other, or as a sum total of values added that are created by theeconomy.

Depending on the research area, GDP can be also calculatedby end use method as a sum total of costs across all economicsectors for final consumption, gross capital formation, and netexport. The framework for SNA calculations implies the use ofincome distribution method for compiling GDP which reflectsprimary income received by units directly involved in production,as well as by general government (spending units) and nonprofitorganizations serving households.

Pursuant to Procedures for developing and submitting dataon the gross domestic product (approved on October 19, 1998),since October 1998 GDP has been calculated by Federal StateStatistics Service annually and quarterly.

Collecting more reliable data and applying new informationsources can entail updates of GDP’s current statistical esti�mates.

GDP estimates and final results of its calculations are re�leased by Federal State Statistics Service in its regular reports“Russia’s Socio�Economic Situation”, “Statistical Review” Bulle�tin, as well as other publications and in the IMF statistical publi�cation “International Financial Statistics”.

For more details on the compilation of the “Gross DomesticProduct” indicator see the first issue of “Methodological Provi�sions on Statistics” (Moscow: Logos, 1996).

Percentage GDP against the previous year’s relevantperiod is calculated by the Federal State Statistics Service incomparable prices for the previous year.

Percentage output of basic industries’ production andservices compared to the previous year’s relevant period —since October 1998 it has been calculated by Federal StateStatistics Service on the monthly basis for measuring majoreconomic development tendencies as the index of productionoutput change by five basic industries (manufacturing, agricul�ture, construction, transport, trade, and public catering) cover�ing approximately 70% of an overall production and servicesoutput across Russia.

The Federal budget surplus/deficit(—) to gross domes�tic product percentage is calculated by the CBR as a percent�age ratio of the federal budget surplus/deficit to the gross do�mestic product for a corresponding period.

Sources for calculating the said indicator are Federal StateStatistics Service’s data on gross domestic product and the RFFinance Ministry’s report data on the federal budget perfor�mance.

Consumer price index (CPI) — one of the most importantindicators characterizing inflation rate. CPI reflects a change intime of the overall level of prices of goods and services pur�chased by households for nonproduction use. This index is cal�culated by Federal State Statistics Service as a ratio of cost for afixed set of goods and services in the current period to its cost inthe previous (base) period.

CPI monthly data are released in Federal State StatisticsService’s regular reports “Russia’s Socio�Economic Situation”,

“Statistical Review” Bulletin, other publications by Federal StateStatistics Service, as well as in the IMF “International FinancialStatistics”.

For more details on compiling this indicator see the first issueof “Methodological Provisions on Statistics” (Moscow: Logos,1996).

Table 1.2Individual Indicators of State�financed Sector

General Provisions

The “Individual Indicators Featuring the Fiscal Sphere” tablecomprises information on accumulated financial resources andexpenditures made in the Russian Federation budgetary sphere,and also shows apportionment of the consolidated budgetaryrevenues and expenditures between the revenues and expendi�tures of the federal budget and consolidated regional budgets inthe Russian Federation.

The table’s structure has been developed on the basis of theRussian Federation budgetary classification.

Individual Indicators Highlights

Budgetary revenues — money received on an irrevocablebasis as grants in compliance with Russian Federation laws at thediscretion of the Russian Federation governmental authorities,governmental authorities in the Russian Federation memberterritories, and local governments. Budget revenues are formedthrough tax and nontax receipts, and grants.

Tax receipts — incorporate federal, regional, and local taxesand fees as well as fines and penalties envisaged by the RussianFederation tax law.

Nontax revenues include: revenues from the use of govern�ment or municipal property; revenues from selling or any otherrevocable divestiture of government or municipal property; re�ceipts from paid services rendered by relevant government au�thorities, by local authorities, and by spending units reportingrespectively to federal executive authorities, to the Russian Fed�eration member territories, local authorities, funds received as aresult of the enforcement of civil�law and administrative penaltiesand criminal persecution, including confiscation and redress, andalso funds received as compensation for the damage done to theRussian Federation and its constituent territories and municipali�ties and other confiscated funds; revenues in the form of financialaid and budgetary loans received from the budgets of other levelsof the Russian budgetary system; other tax revenues.

Budgetary expenditures — funds transferred to financethe government and local authorities’ purposes and functions.

Budget deficit/surplus — excess of budgetary revenuesover its expenditures/excess of budgetary expenditures over itsrevenues.

Indicators in this table are calculated on a monthly basis bythe Russian Federation Finance Ministry.

More detailed information on the federal budget deficit isreleased in the “Sources of Funding the Federal Budget Deficit”table.

Table 1.3Sources of Funding the Federal Budget Deficit

General Provisions

The “Sources of Funding the Federal Budget Deficit” tableshows amounts and a breakdown of sources of funding thefederal budget deficit on a cash basis (raising funds — repayingthe principal debt).

The table incorporates major sources of covering the federalbudget deficit. Their grouping was based on the budgetary clas�sification approved by federal law.

All indicators in the table are calculated by the RussianFederation Finance Ministry on a monthly basis.

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126BULLETIN OF BANKING STATISTICS № 11 (138)

Table 1.4The Russian Federation Balance of Payments

General Provisions

Balance of payments of the Russian Federation (hereafterreferred to as balance of payments) is a statistical statement,which reflects all economic transactions between Russian Fed�eration residents and nonresidents1 within a reporting period.

The table “Russian Federation Balance of Payments” is com�piled and published by the Bank of Russia (CBR) on a quarterlybasis.

Balance of payments data is one of the major instrumentsused for elaborating the country’s macroeconomic policies,namely, foreign trade policy, foreign exchange regulation andcontrol, and exchange rate policy.

Balance of payments is compiled by the CBR based on (i) theLaw “On the Central Bank of the Russian Federation (Bank ofRussia)” dated July 10, 2002 and (ii) the Russian Federal Gov�ernment Order No. 849 dated July 18, 1994. The InternationalMonetary Fund’s 5th edition of the “Balance of Payments Manual”(1993) serves as a methodological basis for the balance ofpayments.

Sources of information comprise reporting data on all foreigneconomic transactions performed by Russian residents. This datais regularly obtained by the CBR from Russia’s Ministry of Finance(Minfin), Federal Customs Service, Federal State Statistics Ser�vice, Federal Migration Service, Frontier Service of the FederalSecurity Service, Defense Ministry, Emergencies Ministry as wellas from credit institutions and nonfinancial enterprises.

A specific list of reporting forms and other sources of infor�mation applied when compiling the balance of payments is pre�sented in special issues of the CBR’s weekly edition of VestnikBanka Rossii. They contain detailed data on the balance ofpayments for the reporting period, and compilation methodol�ogy (e.g., see Vestnik Banka Rossii No. 43—44 (695—696).

The table “Russian Federation Balance of Payments” is ananalytical presentation of the balance of payments. In contrast tothe neutral presentation prescribed by international standards,an analytical presentation makes it possible to encompass theeconomy’s specifics and to group data in а way that reveals themost significant transactions. In particular, based on the balanceof payments’ information it is possible to identify (i) the totalamount of financial resources attracted from nonresidents thatis treated as a net increase in Russia’s total foreign liabilities(investments in the Russian economy), and (ii) a net increase inRussia’s foreign assets (net capital outflow abroad); classifica�tion of assets and liabilities by the domestic institutional sectorhelps assess the effect of transactions performed by a particularsector on the country’s balance of payments, etc.

Balance of payments data for previous years are subject torevision mainly because of the updating of a primary database(e.g., the Federal Customs Service makes quarterly updates ofits previously released data). Such revisions are also connectedwith the appearance of new sources of information, and theimprovement of methodologies for calculating individual indica�tors. Such an approach provides users of balance of paymentsstatistics with access to the most exhaustive data that meetscomparability requirements.

Balance of payments data for the reporting period are avail�able on the CBR’s Internet website and published (i) in the weeklyprint edition of Vestnik Banka Rossii, (ii) in the mass media(“Rossiyskaya Gazeta”, etc.), and (iii) in the IMF’s “InternationalFinancial Statistics” and “Balance of Payments Statistics Year�book”.

Individual Indicators Highlights

1. Current account includes transactions in goods andservices, income and current transfers.1 Economic transaction is defined as an economic flow that reflects the creation, transformation, exchange, transfer or extinction of economic value and involves changesin ownership of goods and/or financial assets, or the provision of labour and capital.

Residents of a country incorporate all the institutional units, whose center of economic interest is located within the economic territory. All the other institutional units areregarded as non�residents.

Institutional unit is an economic unit, which can own assets, assume liabilities, implement entire spectrum of economic transactions from its behalf. Individuals and legalentities, enterprises and organisations are treated as such units.

The economic territory of a country consists of the geographic territory (including free zones) administered by a government; within this territory, persons, goods and capitalcirculate freely.

An institutional unit has a center of economic interest within the country’s economic territory, on which the unit engages and intends to continue engaging in economic activitiesand transactions on a significant scale.

1.1. Goods. Recorded under this item is the value of the goods,of which ownership was transferred within a reporting period fromresidents to nonresidents (exports) and from nonresidents toresidents (imports). Apart from exports and imports of goodsregistered by the Federal Customs Service, the item involves thefollowing transactions in goods that are not registered by theFederal Customs Service: (i) fish and marine products caught in theopen sea and sold to nonresidents outside the customs border ofthe Russian Federation; (ii) goods procured in domestic/foreignports by carriers; (iii) goods for repairs; (iv) goods exported/imported by migrants; (v) goods undeclared and/or inadequatelydeclared when imported by legal entities; (vi) goods exported/imported by individuals for subsequent sale; (vii) other goods.

Exports and imports of goods are given in terms of f.o.b. values(the f.o.b. value is a delivery term, which implies that the value of thegoods includes the transaction value as well as the value of deliveryand loading on board the carrier at the border of an exportingcountry).

1.2. Services includes services performed by residents fornonresidents and by nonresidents for residents, namely, trans�portation services, travel services, communications services,construction services, financial services, insurance services,computer and information services, royalties and license fees,cultural and recreational services, government services, andother business services.

1.3. Investment income and compensation of employ�ees includes income on production factors (labour, capital)provided by residents to nonresidents and vice versa.

The item “compensation of employees” shows employee com�pensation earned by residents working abroad, and compensa�tion earned by nonresidents employed in the Russian economy.

Recorded under the item “Investment income” is incomederived from a resident’s ownership of foreign financial assets,i.e. receipts paid by nonresidents to residents on holdings offoreign assets (interest, dividends and other similar types ofincome) and vice versa.

1.4. Current transfers. A transfer is an economic transac�tion resulting in provision by one institutional unit to another of acommodity, service, asset and ownership without any counter�parts of a commodity, service, asset and ownership being re�ceived in return. Transfers are subdivided into current transfersand capital transfers. Transfers that can’t be regarded as capitalin accordance with the definition are treated as current transfers(for the definition of capital transfers see paragraph 2.1.1). Re�corded as current transfers, are those that augment the dispos�able income and potential power of a recipient country’s con�sumption, and reduce the disposable income and potential powerof a donor country’s (e.g., humanitarian aid in the form of con�sumer goods and services, and cash grants, unless the latter arecapital transfers).

2. Capital and financial account includes two major cat�egories: (i) capital account and (ii) financial account.

2.1. Capital account reflects capital transfers.2.1.1. Capital transfers result in changes in volume of

recipient and donor’s assets and liabilities, (e.g., provision ofownership of a fixed capital without a quid pro quo, debt forgive�ness). A provision of funds, when no counterpart is received inreturn, is treated as a capital transfer only when the funds areassigned for acquisition of fixed assets or capital construction.Another feature of capital transfers is their significant volume andirregular character.

2.2. Financial account. Recorded under this category aretransactions in assets and liabilities performed by residents vis�а�vis nonresidents. Assets and liabilities are classified by sectorof the Russian economy (general government, monetary au�thorities, banks, other sectors). Since the first quarter 2001, themonetary authorities sector covers all transactions of the Bank ofRussia and transactions of the Minfin of Russia concerning the

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IMF credit. The above mentioned sectors are further classifiedfunctionally into direct investment, portfolio investment, otherinvestment and reserve assets. Starting with the first quarter2002, the items of assets and liabilities of monetary authoritiesand banks also include transactions in financial derivatives. Be�ginning in the fourth quarter 2002, the item “Non�repatriation ofexports proceeds, non�supply of goods and services againstimport contracts and remittances against fictitious transactionsin securities” also includes the estimate of remittances againstfictitious transactions in securities.

2.2.1. Direct investment is the form of international invest�ment that is performed by a resident entity of one economy for thepurpose of obtaining a lasting interest in an enterprise resident inanother economy. The lasting interest implies the existence of along�term relationship between the direct investor and the enter�prise, and a significant degree of influence by the investor on themanagement of the enterprise. Direct investment comprises notonly the initial transactions in acquiring participation in the equity,but also all subsequent transactions between the investor and theenterprise. According to the internationally approved definition ofdirect investment developed by the OECD, invested capital can beregarded as direct investment when a direct investor owns 10 per�cent or more of the ordinary shares of an enterprise.

2.2.2. Portfolio investment includes, in addition to partici�pation in the capital, negotiable debt instruments and financialderivatives. Excluded are the aforementioned instruments in�cluded under direct investment and reserve assets.

2.2.3. Financial derivatives. A financial derivative contractis a financial instrument that is linked to another specific financialinstrument or indicator, and through which specific financialrisks can, in their own right, be traded in financial markets.

2.2.4. Other investment. All financial transactions not cov�ered under direct investment, portfolio investment, financialderivatives and reserve assets, are classified under the “otherinvestment” item. Assets and liabilities included in other invest�ment are classified by type of financial instrument — namely,currency in cash; loans; trade credits; indebtedness on suppliesaccording to intergovernmental agreements; non�repatriationof exports proceeds; non�supply of goods and services againstimport contracts; remittances against fictitious transactions insecurities; other assets and liabilities.

2.2.5. Reserve assets comprises monetary gold and liquidforeign assets of the Bank of Russia and Minfin of Russia in hardcurrencies. They include cash foreign exchange, reverse reposwith nonresidents, bank deposits with nonresident banks (as wellas with resident banks, up to the 3rd quarter of 1999), govern�ment securities and other securities issued by nonresidents,assets with the IMF (special drawing rights — SDRs, reserveposition in the Fund), and other liquid assets.

Starting in the 3rd quarter of 1999, the value of balances inforeign currency in resident banks’ accounts with the Bank ofRussia is deducted from the amount of international reserves,except for funds extended by the Bank of Russia to Vnesheconom�bank for servicing of governmental foreign debt.

Starting with the data for the 3rd quarter of 2002, the amountof reserve assets is given net of the assets, which is a collateralagainst the Bank of Russia’s short�term liabilities vis�а�vis non�residents.

2.3. Net errors and omissions. Labeled by some compil�ers as a balancing item or statistical discrepancy, this item isintended to offset the overstatement or understatement of thecomponents recorded in the balance of payments.

Table 1.5Net Outflow of Private Sector Capital

(based on the balance of payments, flows data)

General Provisions

The table “Net Outflow of Private Sector Capital” reports thevalue of an outflow/inflow of private sector capital from/in theRussian Federation during the reporting period. Here, the privatesector implies banks, non�financial enterprises and households.

The table is compiled quarterly and is based on the balanceof payments data.

The table is available on the CBR’s Internet website.

Individual Indicators Highlights

Net capital outflow by private sector for the reportingperiod reflects a balance of financial transactions recorded in thebalance of payments and relating to the private sector, anddisplays alterations of the net assets of the latter.

Net capital outflow by banks is computed as the sum ofchanges (with algebraic signs as they are in the balance ofpayments) in foreign assets and foreign liabilities of banks.

Foreign assets comprise transactions of credit institutionsand of Vnesheconombank (net of the balance�sheet positionspertaining to the government foreign assets placed on the VEB’sbalance�sheet as of an agent of the Government of Russia).

Foreign liabilities cover transactions in all foreign obligationsof banks.

Net capital outflow by non�financial enterprises andhouseholds is calculated as the sum of changes (with algebraicsigns as they are in the balance of payments) in foreign assets ofenterprises and households and of changes in their foreignliabilities, plus the value of “net errors and omissions” item of thebalance of payments.

Foreign assets consist of transactions of non�financial enter�prises and households in the form of: direct and portfolio invest�ment; trade credit; non�repatriation of exports proceeds and non�supply of goods and services against import contracts; otherassets, as well as transactions of these agents in cash foreignexchange. The balance of payments item “Indebtedness on sup�plies according to intergovernmental agreements” is not included.

Foreign liabilities incorporate transactions in all types offoreign liabilities of non�financial enterprises.

Net errors and omissions is the balance of payments item,commonly referred to as a statistical discrepancy, which resultsfrom the summing of all transactions (with negative and positivesigns) registered in the balance of payments. This item entirelyrelates to the sectors of non�financial enterprises and house�holds — this is connected with the fact that the most significantdifficulties arise from the recording in the balance of payments oftransactions undertaken by these very sectors.

Table 1.6External Debt of the Russian Federation

(vis�a�vis Nonresidents)

General Provisions

Data on external debt plays an important role in analyzing theexternal vulnerability of the national economy.

When elaborating and preparing data, Bank of Russia ex�perts are guided by the definition of external debt found in themanual jointly developed by international organizations, namely,the External Debt Statistics Guide for Compilers and Users (2003),which states that external debt as of the reporting date is theoutstanding amount of actual current (not contingent) liabilities,which are owed to nonresidents by residents of an economy andwhich require payments of interest and/or principal.

Calculation of external debt amount according to the inter�national methodology includes indebtedness of all sectors of aneconomy vis�а�vis nonresidents, irrespective of which currencythe indebtedness is nominated in.

Indebtedness on negotiable instruments is adjusted to trans�actions on the secondary market between residents and non�residents and covers only liabilities to the latter.

As follows from the definition, the key feature of debt is theobligation of a debtor to make payment of interest and/or princi�pal, therefore, it excludes equity capital, guarantees, open creditlines and other contingent liabilities.

General government debt securities are appraised at facevalue, while those of banks and other sectors, are appraised atmarket value or at sale price.

External debt data is compatible with other macroeconomicsystems within an economy (balance of payments, internationalinvestment position, statistics of national accounts) and on theinternational level.

Structurally, the table focuses on the following economicsectors as main functional categories, namely:— General government

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— Monetary Authorities— Banks— Non�financial enterprises.

Among the sources of information are report forms of theBank of Russia (CBR), Ministry of Finance of the Russian Federa�tion (Minfin), Federal Customs Service, Federal State StatisticsService, international financial organizations, local governments,credit institutions, Vnesheconombank (VEB), depository clear�ing systems and nonfinancial enterprises.

Data on Russia’s external debt is available on the Bank ofRussia website (www.cbr.ru), and is published in the mass me�dia, i.e. Rossiiskaya Gazeta newspaper and print editions ofVestnik Banka Rossii.

Individual Indicators Highlights

General government.Federal government. This category comprises external

liabilities of the Russian Government, which arose starting in1992, (the new Russian debt) and had accumulated before1992, for which the Russian Government assumed responsibilityafter the USSR’s dissolution ( the former USSR debt).

The new Russian debt is composed of indebtedness to non�residents on loans, securities and other liabilities. Included areloans from the IBRD, EBRD and foreign governments. Use of IMFcredit is classified under Monetary authorities in this table. Incor�porated under securities is the indebtedness to nonresidents onall sovereign eurobonds issued by the Russian Government in�cluding those issued in 1998 for the GKO—OFZs restructuringand those issued for the London Club debt restructuring, Minis�try of Finance Hard Currency Bonds (OVGVZs issued after 1996and OGVZs of 1999). These obligations are not overdue. Otherliabilities are composed of arrears on current transactions.

Former USSR debt comprises indebtedness on loans fromthe Paris Club, borrowings from former socialist countries, fromnon�Paris Club creditors and loans from the International Bankfor Economic Co�Operation (IBEC). The amount of indebted�ness is partly overdue. In addition to loans, indebtedness toformer socialist countries incorporates balances on clearingaccounts. Related to obligations on securities are the Ministry ofFinance Hard Currency Bonds (OVGVZs) issued to settle indebt�edness on enterprises’ frozen foreign exchange accounts withthe VEB. Other liabilities item includes indebtedness on letters ofcredit, collection arrears, trade credits, loans drawn by formerSoviet republics and foreign trade organizations (other than theVEB), and interest on arrears.

Local governments. Included is indebtedness to nonresi�dents on loans drawn by local governments of the Russian Federa�tion and on eurobonds and ruble debt securities issued by them.

Monetary Authorities. A category, which covers the Bankof Russia and use of IMF Credit by the Ministry of Finance of theRussian Federation.

Banks. Consists of the liabilities of authorized credit institu�tions including the VEB (foreign debt managed by the VEB as anagent of the Russian Government is reflected as the Generalgovernment debt).

Non�financial enterprises. Involved is indebtedness ofnonfinancial enterprises on external borrowings.

Мore detailed information on indebtedness coverage, pecu�liarities of its recording, and compliance with balance of pay�ments items is available in the CBR’s publication Vestnik BankaRossii, including Methodological commentary on external debtcalculation presented as an appendix to quarterly data on thebalance of payments, foreign debt and the international invest�ment position of Russia.

Table 1.7External Debt of the Russian Federation

in Domestic and Foreign Currencies (accordingto the IMF’s Special Data Dissemination Standard)

General Provisions

On the whole, this section reproduces the contents of the“General Provisions” section of Table 1.6 “External Debt of theRussian Federation”.

Indebtedness of the main sectors of the economy is presentedin a breakdown by domestic and foreign currency.

Debt liabilities owed by banks and by non�financial enterprisesto their direct investors are singled out under a separate datacategory.

Individual Indicators Highlights

The description of indicators “General government”, “Mon�etary Authorities”, “Banks” and “Non�financial enterprises” con�forms to that found in the commentary for Table 1.8.

Table 1.8External Debt of the Russian Federation

by Maturity (according to the IMF’s Special DataDissemination Standard)

General Provisions

On the whole, this section reproduces the contents of the“General Provisions” section of Table 1.6 “External Debt of theRussian Federation (vis�а�vis Nonresidents)”. Structurally, thetable focuses on the following economic sectors as main func�tional categories, namely:— General government— Monetary authorities— Banks— Non�financial enterprises.

Each of these categories is subdivided into (i) short�termindebtedness (with an original maturity of 1 year or less) and(ii) long�term indebtedness (with a maturity of more than 1 year),which are additionally classified by type of instrument. Debtliabilities owed by banks and by non�financial enterprises to theirdirect investors are singled out under a separate data category.

Individual Indicators Highlights

General government. This category comprises externalliabilities of the Russian Government, which emerged starting1992 and prior to 1992, for which the Russian Governmentassumed responsibility after the USSR dissolution, as well as theindebtedness to nonresidents on loans attracted by local gov�ernments of Russia and on eurobonds and other securities is�sued by both Federal and local governments.

Debt securities. Included is non�overdue indebtednessvis�a�vis nonresidents on securities (denominated in foreigncurrencies and Russian rubles) issued by the General govern�ment and by local governments of Russia.

Current accounts and deposits is comprised of the inter�state indebtedness on clearing transactions and overdraft ac�counts.

Loans includes loans, not overdue, attracted from non�residents by the Russian Federal Government, local govern�ments, and by the former USSR.

Other debt liabilities:Arrears is composed of the former USSR debt arrears (prin�

ciple and interest) on debt securities, loans and other instru�ments; arrears on current transactions of the Ministry of Financeof the Russian Federation; arrears on loans attracted by localgovernments of Russia; interest on principal arrears and oninterest arrears.

Other is comprised of the indebtedness not classified underthe above categories.

Monetary authorities.Loans — included are loans received by the Bank of Russia,

and use of the IMF credits by the Ministry of Finance.Currency and deposits comprises indebtedness of the

Bank of Russia to nonresidents on current accounts. Also includedis the Bank of Russia’s estimate of the outstanding amount ofrubles in cash, owned by nonresidents (description of the meth�odology of this estimate is available in Vestnik Banka Rossii,simultaneously with the balance of payments publication).

Banks (excluding equity capital and debt liabilities todirect investors). Covered is indebtedness to nonresidents ofcredit institutions and Vnesheconombank (with respect to com�mercial activities of the latter); the foreign debt managed by theVEB as an agent of the Russian Government is reflected underGeneral government.

Debt securities include indebtedness of banks to non�resi�dents on their own issues of debt securities.

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Loans. Included are loans attracted from non�residents bybanks, including repos.

Current accounts and deposits comprises indebtednessof banks to non�residents on current accounts, and short�termand long�term deposits.

Other debt liabilities is composed of banks’ arrears includ�ing interest arrears and other liabilities to non�residents.

Non�financial enterprises (excluding equity capital anddebt liabilities to direct investors). Covered is the indebted�ness to non�residents on external funds attracted.

Loans. Included are: loans in foreign currency attracted bynon�financial enterprises from non�residents for more than180 days, loans attracted for less than 180 days; indebtednesson leases of equipment obtained from non�residents for morethan 1 year.

Debt securities includes indebtedness of non�financial en�terprises to non�residents on their own issues of debt securities.Since January 1, 2004 preference shares owned by non�resi�dents are also included as they are no more treated as equitycapital.

Banks and non�financial enterprises�debt liabilities todirect investors. Included are loans and other capital obtainedfrom foreign direct investors.

Table 1.9.1International Investment Position of Russia

for 2000—2003: external assets and liabilitiesat end of period

Table 1.9.2International Investment Position of Russia

for 2003

General Provisions

International investment position (IIP) is a statistical state�ment, which serves to assess the value of an economy’s stock ofexternal assets and liabilities at the beginning or end of a report�ing period, as well as all changes that occurred within the report�ing period as a result of transactions, valuation changes (changesdue to revaluation), and other adjustments.

The IIP data for Russia disseminated at present includessectorization by: (i) Monetary authorities (Bank of Russia andMinfin of Russia liabilities concerning IMF credit), (ii) Generalgovernment (including data on transactions in government ex�ternal assets and liabilities performed by Vnesheconombank(VEB) as an agent of the Government of the Russian Federation),(iii) Banking sector, and (iv) Non�financial enterprises and house�holds.

Data sources used for Russia’s IIP compilation are as fol�lows: (i) report forms of the Bank of Russia (CBR), (ii) data ob�tained from: Minfin of Russia (MOF), Federal Customs Service,Federal State Statistics Service, Federal Service for PropertyManagement of Russia, international financial organizations,local governments, credit institutions, the VEB, non�financialenterprises, as well as (iii) the CBR’s expert estimates.

The methodological basis for compilation of the IIP compo�nents is the Fifth Edition of the IMF’s Balance of PaymentsManual 1993.

As interdependency of the world economy increases, the infor�mation that constitutes the IIP of Russia plays an important rolein the development of both foreign and internal economic policies.The economy’s net international investment position (which is aresult of foreign financial assets and liabilities of Russia beingnetted) makes it possible to determine the condition of Russia’sexternal economic relations with other economies on a specificdate. Depending on whether the international investment posi�tion is positive or negative, the economy can be regarded as a “netcreditor” or “net debtor” vis�a�vis nonresidents, respectively.

Information included in sections “Assets” and “Liabilities” couldbe used for assessing the value of Russia’s external assets andliabilities and analyzing the structure of the assets and liabilities.

The international investment position of the Russian Federa�tion is published in the CBR’s weekly print edition Vestnik BankaRossii, and is available on the CBR’s website.

Individual Indicators Highlights

Foreign assets and foreign liabilities of the economy’s resi�dents at a specific date (which if netted result in the net interna�tional investment position) are the major classification groupingspresented in the rows of the table.

The assets and liabilities, in their turn, are classified in thefollowing manner:— by functionality (direct investment, portfolio investment, fi�

nancial derivatives, other investment, reserve assets);— by type of financial instrument (equity securities, debt secu�

rities, loans, etc.);— by sector (Monetary authorities, General government, Bank�

ing sector, Non�financial enterprises and households);— by maturity (long�term — refers to instruments with original

maturities of more than 12 months;— short�term — refers to those with maturities of 12 or fewer

months).Columns of the table reflect the stock of foreign assets/

liabilities of Russia’s banking sector at the beginning or end ofthe reporting period, as well as information on changes in foreignassets/liabilities in the breakdown specified below.

Changes due to transactions reflect only the net changesin the foreign assets/liabilities of Russia’s banking sector, whichoccurred as a result of transactions in these assets/liabilities.These transactions are included in the financial account ofRussia’s balance of payments.

Changes due to revaluation and other changes reflectchanges (on a net basis), which are not regarded as transactionsand, therefore, not included in the balance of payments of Rus�sia. Changes due to revaluation cover net changes in as�sets/liabilities that result from exchange rate fluctuations andprice changes. Other changes include all other changes inassets/liabilities (on a net basis) caused by: (i) reclassification(e.g., the transition from portfolio investment to direct invest�ment following an increase of an investor’s share in equity capitalof an enterprise), (ii) unilateral write�offs of debts by a creditor,(iii) write�offs resulting from reconciliation, (iv) other changes.

Total changes is an aggregate amount of net changes inassets/liabilities due to transactions, revaluation and otherchanges.

One of the most important components of the foreign assetsis official international reserves, which comprise short�term highlyliquid foreign assets of the CBR and the MOF. Reserve assets areused to maintain the steadiness of national currency and toservice government debt to nonresidents.

Due to the fact that methodological principles used for com�pilation of the IIP of Russia are similar to those applied to balanceof payments statistics, the definitions for separate indicatorscoincide with those set forth in the comment to Table 1.4 “TheRussian Federation Balance of Payments”.

Valuation of indicators

External assets and liabilities are measured at market valuesexcept for those given at book value, which are amounts out�standing recorded under the items Trade credits, Loans andArrears of the General government sector on the assets side.Following negotiations with borrowers within the Paris Club, theabove claims will be discounted.

The line “Trade credits” of other investment includes bothaccounts receivable from and payable to nonresidents on exportand import of goods.

Monetary gold is valued at US$ 300 per troy ounce.Column “Other adjustments” includes assets and liabilities

of credit institutions, whose licenses to carry out banking activi�ties were cancelled within the reporting period.

Table 1.10International Investment Position

of the Banking Sector of Russia

General Provisions

International investment position (IIP) of the Banking sectorof Russia — a component part of the IIP of Russia — is a statisticalstatement, which serves to assess the value of the stock ofexternal assets and liabilities of the economy’s Banking sector at

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the beginning or end of a reporting period, as well as all changes thatoccurred within the reporting period as a result of transactions,valuation changes (changes due to revaluation), and other adjust�ments.

The Banking sector’s IIP, which is compiled by the Bank ofRussia (CBR), is comprised of data on credit institutions, includ�ing Vnesheconombank (VEB) (net of the balance�sheet posi�tions pertaining to government foreign debt and governmentforeign assets placed on the VEB balance�sheet as of an agent ofthe Government of Russia).

Data sources used for compilation of the Banking sector’s IIPare: (i) information on foreign transactions collected from autho�rized credit institutions and the VEB. Information provided by theBanking sector’s IIP has significant importance in analyzing stabil�ity of the Banking sector and state of the economy as a whole.

Compilation methodology, valuation principles, and defini�tions for separate indicators of the Banking sector’s IIP coincidewith those applied to the IIP of the Russian Federation.

The “Assets” section of the table contains (i) data on theamount of foreign claims held by the Banking sector of Russia atthe beginning or end of the reporting period, (ii) composition ofthe foreign claims and (iii) level of their liquidity. Based on thedata available, it is possible to identify the factors that causedchanges in assets during the reporting period.

Consequently, data contained in the “Liabilities” section makeit possible to evaluate (i) size of the foreign liabilities, which theBanking sector accumulated at the beginning or end of thereporting period, and (ii) composition of those liabilities. Besidethat, data in this section reveal the major causes of changes inliabilities within the reporting period.

Depending on whether the Banking sector’s net interna�tional investment position is positive or negative, this sector canbe regarded as a “net creditor” or “net debtor” vis�а�vis nonresi�dents, respectively.

The international investment position of Russia’s bankingsector is published in the CBR’s weekly print edition VestnikBanka Rossii and is available on the CBR’s Internet website.

Individual Indicators Highlights

Foreign assets and foreign liabilities of the Banking sector ona specific date (which when netted result in the net internationalinvestment position) are the major classification groupings pre�sented in the lines of the table. The components singled out inthe table’s lines are identical to those in the financial account ofbalance of payments, namely, direct investment, portfolio in�vestment, financial derivatives, other investment. More detailedinformation on these components is given in the comment toTable 1.4.

Columns of the table reflect the stock of foreign assets/lia�bilities of Russia’s Banking sector at the beginning or end of thereporting period, as well as information on changes in foreignassets/liabilities in the breakdown specified below.

Changes due to transactions reflect only the net changesin the foreign assets/liabilities of Russia’s Banking sector, whichoccurred as a result of transactions in these assets/liabilities.These transactions are included in the financial account ofRussia’s balance of payments.

Changes due to revaluation and other changes reflectchanges (on a net basis), which are not regarded as transac�tions and, therefore, not included in the balance of payments ofRussia. Changes due to revaluation cover net changes inassets/liabilities that result from exchange rate fluctuationsand price changes. Other changes include all other changes inassets/liabilities (on a net basis) caused by: (i) reclassification(e.g., the transition from portfolio investment to direct invest�ment following an increase of an investor’s share in equitycapital of an enterprise), (ii) unilateral write�offs of debts by acreditor, (iii) write�offs resulting from reconciliation, (iv) otherchanges.

Total changes is an aggregate amount of net changes inassets/liabilities due to transactions, revaluation and otherchanges.

Valuation of indicators

The column “Other adjustments” includes assets and liabili�ties of credit institutions, whose licenses to carry out bankingactivities were cancelled within the reporting period.

Table 1.11The Russian Federation Merchandise Trade

(based on the Balance of Payments Methodology)

General Provisions

The table “The Russian Federation Merchandise Trade” in�cludes monthly data on the merchandise trade of the RussianFederation with a geographical breakdown by (i) Commonwealthof Independent States member countries (CIS�countries) and(ii) non�CIS countries. The data are presented in millions of U.S.dollars and valued in accordance with the goods values con�verted into f.o.b. (a definition of the f.o.b. value is provided incommentary to Table 1.4 “The Russian Federation Balance ofPayments”, “Goods” section).

Data provided in the table “The Russian Federation Mer�chandise Trade” are included in the current account of the bal�ance of payments and are compiled in compliance with the5th edition of the IMF’s Balance of Payments Manual.

The table’s sources of information are the following:— reporting data on exports/imports of goods recorded by the

Federal Customs Service with customs procedures singledout separately;

— reporting data by the Federal State Statistics Service on:(i) exports of fish and marine products caught in open seaand sold outside the customs border of the Russian Federa�tion, (ii) exports/imports of bunker fuel, (iii) migration flowsthat are the basis for estimation of migrants’ property;

— reporting data by the major exporting enterprises;— partner country data on selected items.

Data on merchandise trade are published in the CBR’s weeklyprint edition Vestnik Banka Rossii, and are vailable on the CBR’sInternet website.

Individual Indicators Highlights

Exports of Goods (balance of payments methodology) isthe movement of (i) goods out of the customs territory of theRussian Federation recorded by the Federal Customs Service inaccordance with the general trade system, and (ii) goods notregistered by the Federal Customs Service — namely, fish andmarine products caught in open sea and sold to nonresidentsoutside the customs border of the Russian Federation, goodsprocured by foreign carriers in Russian ports, goods for repairs,goods exported by migrants, goods exported by individuals forthe subsequent selling, and other goods. Moreover, the move�ment of commodities via consignment agreements during thereporting period is excluded and at the same time movement ofcommodities via consignment agreements in the earlier period,which were sold in the current period, is included.

Imports of Goods (balance of payments methodology) cov�ers (i) goods brought into the Russian customs territory andrecorded by the Federal Customs Service in compliance with thegeneral trade system, and (ii) goods not registered by the FederalCustoms Service — namely, goods acquired from nonresidentswithout crossing Russia’s customs border, goods procured byRussian carriers in foreign ports, goods for repairs, goods broughtin by migrants, goods undeclared and/or inadequately declaredwhen imported by legal entities, goods imported by individuals forthe subsequent selling in Russia, and other goods.

Trade balance is defined as the difference between exportsand imports of goods.

Table 1.12Gross International Reserves

General Provisions

International reserves include highly liquid financial assets heldby the Bank of Russia (CBR) and the General Government andreadily available for direct financing of Russia’s paymentsimbalances.

International reserves are calculated on the basis of the CBRaccounting and operational information, and the data obtained fromthe Ministry of Finance.

When developing international reserves data, the CBR is guidedby the definition of gold and forex gross reserves, which largelycomplies with the definition available in the 5th edition of the IMF’sBalance of Payments Manual.

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Data on the international reserves are published on a regularbasis in the weekly print edition “Vestnik Banka Rossii”, in the IMFstatistical publication “International Financial Statistics”, and areavailable on the CBR’s Internet website (published are monthly andweekly data on the international reserves of the Russian Federation).

Individual Indicators Highlights

The international reserve assets are made up of foreign currencyreserves, monetary gold, special drawing rights (SDRs), reserveposition at the IMF, and other reserve assets. The foreign currencyreserves includes the Bank of Russia’s and the GeneralGovernment’s foreign exchange assets in the form of cash foreignexchange, bank deposits with nonresident banks (rated at least “A”by Fitch IBCA and Standard and Poor’s, or “A2” by Moody’s) as wellas government and other securities issued by nonresidents with asimilar rating. The other reserve assets includes reverse reposwith nonresidents. As from September 1, 1999, an amount equivalentto the foreign exchange balances on resident banks’ correspondentaccounts with the Bank of Russia is deducted from the internationalreserve assets, except for the funds transferred to theVnesheconombank for the servicing of the government foreigndebt.The international reserves comprise monetary gold, specialdrawing rights (SDRs), reserve position in the IMF, and foreignexchange.

Starting from August 1, 2002, the reserve assets estimateexcludes assets that are used as collateral on the Bank of Russia’snon�resident short�term liabilities nominated in foreign exchange.

Monetary gold is valued at US$300 per troy ounce. The goldplaced on unallocated “metal” accounts is recorded under foreignexchange.

SDRs are international reserve assets issued by the IMF with aview to replenish reserve assets.

The reserve position in the IMF reflects an amount by whichRussia’s quota with the IMF exceeds the IMF ruble denominatedassets.

Table 1.13International Reserves and Foreign Currency

Liquidity — Russia

General Provisions

The template recommended by the IMF is meant to provideexhaustive information on the official assets of the Russian Fed�eration in foreign currency and movements of these resourcesrelated to different rights and obligations of monetary authoritiesin foreign currency. In the template presented is data on balanceand off�balance sheet transactions of monetary authorities inforeign currency, and supplementary information.

Data is published in terms of millions of U.S. dollars. Foreignexchange assets are converted to U.S. dollars using cross ex�change rates of foreign currencies for the U.S. dollar as of thegiven date.

Blank fields in the tables signify the absence of respectivefinancial instruments as of the reporting date.

Data sources for International Reserves and Foreign Cur�rency Liquidity are: balance sheet and off�balance sheet data ofthe CBR, operational reports of the CBR and Minfin of Russia.

Individual Indicators Highlights

Section I Official Reserve Assets and Other Foreign Cur�rency Assets provides information on the structure of Russia’sinternational reserves as well as data on the non�reserve foreignexchange assets of monetary authorities. Comprehensive de�scription of international reserve assets is given in the method�ological comments to table 1.12 “Gross international reserves”.Other foreign currency liquidity represents assets of the Bank ofRussia and Minfin of Russia that do not meet the requirements forinternational reserve assets. Unlike reserve assets, non�reserveassets do not need to be external assets. They can be claims onresidents.

Section II Predetermined Short�term Net Drains on For�eign Currency Assets describes the main directions of expen�diture of foreign currency and sources of inflows of foreign cur�rency.

Section III Contingent Short�term Net Drains on ForeignCurrency Assets involves information on forthcoming changesin foreign exchange reserves of the Bank of Russia and Minfin ofRussia as a result of exercising contingent assets and liabilitieswith remaining maturities of one year and transactions in options.

Reference data in Section IV Memorandum Items provides anexplanation of the indicators recorded in Section I, reserves’ cur�rency composition by groups of currencies being disclosed.

Analytical Accounts of Monetary Authorities,Analytical Accounts of Credit Institutions

and Monetary Survey Tables

The tables entitled “Analytical Accounts of Monetary Authori�ties”, “Analytical Accounts of Credit Institutions”, and “MonetarySurvey” represent aggregate indicators depicting the state ofRussia’s banking sector. The Bank of Russia compiles theseaggregates on a monthly basis.

The methodological basis for drawing up these tables is themonetary survey scheme developed by the IMF as a standard ofthe analytical presentation of monetary statistics data. This schemestipulates compilation of major monetary aggregates based onaccounting records of the transactions and reserves of the CentralBank of Russia (the CBR), the Ministry of Finance of the RussianFederation (Minfin), and credit institutions, in such a way as torepresent the monetary liabilities of the above organizations, onthe one hand, and their claims on Russian organizations andhouseholds, and the outside world, on the other. Such data pre�sentation is used for analyzing money supply and its profile as wellas relationships of monetary authorities and credit institutions withother sectors of the Russian economy and nonresidents.

Within the terms set by the IMF Special Data DisseminationStandard, the CBR Internet web site publishes preliminary dataon major indicators from the “Analytical Accounts of MonetaryAuthorities” and “Monetary Survey” tables. Some elements ofthese are estimate�based. Within the quarter, (for Decemberdata within six months) data can be updated. The final data isreleased in the “Bulletin of Banking Statistics” and the IMF statis�tical publication “International Financial Statistics”.

Table 1.14Analytical Accounts of Monetary Authorities

General Provisions

The Bank of Russia’s monthly aggregate balance sheet andthe Minfin’s data on international reserves of the Russian Fed�eration government are the sources of information used to com�pile the “Analytical Accounts of Monetary Authorities” table.

Individual Indicators Highlights

Foreign assets — the Russian Federation international re�serves (see their content in comments on the “Gross Interna�tional Reserves” table) and less liquid nonreserve assets. Thenonreserve assets in this table comprise the Bank of Russia’sother assets placed with nonresidents1, namely, assets denomi�nated in currencies with a limited conversion potential and in theRussian Federation currency, and also long�term credits anddeposits in convertible currency, and equity in nonresident banks.Beginning with data on August 1, 2002 the nonreserve foreignassets include funds in convertible currency contracted fromnonresidents on short�term REPO2 agreements, which beforewas among the gross international reserves.

Claims on general government — loans extended to theMinfin, the RF government securities bought by the CBR, exceptfor securities transferred to the CBR by credit institutions onREPO terms. In compliance with international standards on ana�

1 Definitions of nonresidents and residents for this table and for the “Analytical Accounts of Credit Institutions” and “Monetary Survey” tables correspond to similar definitionsin the balance of payments statistics — see comments on the “The Russian Federation Balance of Payments” table.2 Hereinafter transactions in securities purchased on REPO terms shall be treated as deals on the sale (purchase) of securities with the commitment to their subsequentrepurchase (sale) in a certain period at a previously fixed price.

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lytical presentation of monetary authorities’ statistics, this indicatorincorporates a contra entry of the IMF loans extended to the Minfin.

Claims on nonfinancial public organizations — credits (in�cluding overdue debt), overdue interest on credits extended tononfinancial government organizations1.

Claims on nonfinancial private organizations and house�holds — credits (including overdue debt), overdue interest oncredits extended to nonfinancial nongovernment organizationsand households as well as the Bank of Russia’s investments insecurities of private sector organizations.

Claims on credit institutions — credit institutions’ arrearsto the CBR (including loans extended to banks with revokedlicences and overdue interest on them) and funds extended tocredit institutions on REPO terms, the Bank of Russia invest�ments in securities of credit institutions.

Reserve money — cash issued by the CBR (excluding cashin its vaults), required reserves’ accounts deposited by creditinstitutions with the CBR, correspondent accounts, CBR bonds,acquired by credit institutions, other funds on operations ofcredit institutions (including banks with revoked licences) withthe CBR, as well as demand deposits (including accrued intereston the deposits) of nonfinancial organizations serviced in theCBR in compliance with effective legislation.

Money outside banks — cash issued by the CBR excludingcash available in the CBR’s and credit institutions’ cash offices.

Time deposits and deposits in foreign currency — timedeposits in the Russian Federation currency, all deposits inforeign currency and accrued interest on the deposits of nonfi�nancial organizations serviced by the CBR in compliance witheffective legislation.

Foreign liabilities include all types of borrowings by theCBR from nonresidents (credits, deposits, nonresident banks’correspondent accounts with the CBR, etc.) as well as IMF loansextended to the Minfin and the CBR.

General government deposits — balances on accounts ofthe federal budget, the RF constituent entities’ budgets and localbudgets, deposits and other Minfin attracted funds, fiscal au�thorities in the RF constituent entities and local authorities, gov�ernment extrabudgetary funds and extrabudgetary funds of theRF constituent entities and local authorities. Apart from theseitems, the indicator includes a contra entry of international re�serves of the Russian Federation government.

Capital accounts include the CBR’s authorized capital,supplementary capital, its reserve and other funds, and Bank ofRussia losses in previous years.

Other items (net) — assets and liabilities balances (ex�cluded from the above mentioned aggregates) that relate tooperations on maintaining the CBR activities (fixed assets items,cost of economic activities, settlements with organizations ac�countable to the CBR), as well as interbranch settlements bal�ance, deferred revenues and expenditure, and some other items.

Table 1.15Analytical Accounts of Credit Institutions

General Provisions

The sources of information for compiling the “AnalyticalAccounts of Credit Institutions” table are a balance sheet aggre�gated on a monthly basis for credit institutions (excludingbranches of Russian credit institutions abroad), balance sheetsof foreign banks located in the Russian Federation, andVnesheconombank’s selected balance sheet indicators com�piled on the basis of its commercial transactions (excludingtransactions on managing the RF foreign debt by Vnesheconom�bank as the Russian Federation Government agent).

Individual Indicators Highlights

Reserves — cash in the Russian Federation currency in thevaults of credit institutions as well as credit institutions’ fundsdeposited in the CBR (balances on correspondent accounts,required reserves, deposits, investments in the CBR bonds, other).

Foreign assets — balances on credit institutions’ accountsrecording transactions made with nonresidents in foreign cur�rency, the currency of the Russian Federation and precious metals(balances on correspondent accounts; deposits and other fundsplaced in nonresident banks; funds, extended to nonresidentbanks on REPO terms; credits extended to nonresident banks,nonresident legal entities and individuals, debt liabilities, andbills acquired from foreign governments, banks and other non�residents, investments in shares of foreign companies and banks)as well as foreign currency cash in credit institutions’ vaults.

Claims on general government — credits extended to theMinfin, fiscal authorities in the RF constituent entities and to localauthorities, to government extrabudgetary funds and to extrabud�getary funds of the RF constituent entities and local authorities,securities issued by the Russian Federation Government, the RFconstituent entities and local authorities and held by credit insti�tutions.

Claims on nonfinancial public organizations — credits(including overdue debt), overdue interest on credits extendedto nonfinancial government organizations in the Russian Federa�tion currency and foreign currency.

Claims on nonfinancial private organizations and house�holds — credits (including overdue debt), overdue interest oncredits extended to nonfinancial nongovernment organizations,self�employed individuals and households in the Russian Fed�eration currency, foreign currency and precious metals , as wellas credit institutions’ investments in securities issued by privatesector organizations.

Claims on other financial institutions — funds transferredand credits extended to financial institutions (except for creditones) regardless of their type of property in the Russian Federa�tion currency and foreign currency2.

Demand deposits — balances held by Russian Federationresidents (organizations, self�employed individuals and house�holds) in checking, current, deposit, and other demand ac�counts (including plastic cards payment accounts) opened withoperating credit institutions in the Russian Federation currencyand accrued interest on these deposits.

Time and saving deposits and foreign currency depos�its — balances on time deposits and other funds held in theRussian Federation currency and all kinds of foreign�currencydeposits, including accrued interest on the deposits, by RussianFederation residents (organizations, self�employed individualsand households) contracted for a specific term and kept withoperating credit institutions, and resident clients’ accounts (ex�cept for credit institutions) in precious metals.

Restricted deposits — amounts on accounts with creditinstitutions whose owners cannot use them during a certainperiod of time due to terms of contract or current terms of thecredit institution’s operations (for instance, clients’ accountsreserved for conducting conversion transactions and futurestransactions in purchase/sale of hard currency, deposits withbanks with revoked licences and some others).

Money market instruments — additional financial instru�ments issued by credit institutions and representing similar moneysubstitutes, i.e. bonds, deposit and saving certificates, bills andbank acceptances circulating outside the banking system.

Foreign liabilities — funds attracted by credit institutionsfrom nonresidents: balances on LORO accounts, funds attractedfrom nonresident banks on REPO terms,credits, deposits, andother funds attracted from nonresident banks, nonresident indi�viduals and legal entities and denominated in foreign currency,the Russian Federation currency, precious metals.

General government deposits — balances on accounts ofthe federal budget, the RF constituent entities’ budgets and localbudgets, deposits and other Minfin attracted funds, financialauthorities of the RF constituent entities and local authorities,government extrabudgetary funds and extrabudgetary funds ofthe RF constituent entities and local authorities.

Liabilities to monetary authorities — debt of credit institu�tions on the CBR credits (including overdue debt and overdue

1 Hereinafter nonfinancial organizations used in the “Bulletin of Banking Statistics” shall be rendered as organizations engaged in selling goods and services and not referredto the financial sector.2 Financial organizations are the organizations that fulfil primarily financial functions for the purpose of money accumulation and redistribution. They comprise investment funds,trust, leasing and factoring companies, commodity and stock exchanges, brokerage firms operating on the stock market, insurance companies, nongovernmental pensionfunds, etc.

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interest) as well as funds extended by the CBR to credit institutionson REPO terms.

Capital accounts — credit institutions’ own funds. Theyinclude authorized and supplementary capital, special, reserveand other funds formed through profits, results of revaluation ofsecurities, precious metals and funds in foreign currency, cur�rent�year financial results and profits and losses of previousyears.

Other items (net) — assets and liabilities balances whichare not included in the above aggregates, such as transactionsamong credit institutions and intrabank transactions as well astransactions connected with credit institutions’ logistics opera�tions (fixed assets accounting entries (less depreciation), capi�tal investments, and other costs associated with economicactivities, revenues and deferred costs), gold and other pre�cious metals reserves and provisions for losses on active trans�actions.

Table 1.16Monetary Survey

General Provisions

The “Monetary Survey” table presents results of the consoli�dated data shown in the “Analytical Accounts of Monetary Au�thorities” and “Analytical Accounts of Credit Institutions” tables(consolidation is made by subtracting all mutual claims andliabilities between credit institutions and the CBR and by addingup their transactions to resident and nonresident sectors). Thetable is based on data from the CBR monthly balance sheet,balance sheets of credit institutions (excluding branches of Rus�sian credit institutions abroad) aggregated on a monthly basis,balance sheets of foreign banks located in the Russian Federa�tion, and Vnesheconombank’s selected balance items compiledon the basis of its commercial operations (excluding its transac�tions on managing the Russian Federation foreign debt whichVnesheconombank makes as the Russian Federation Govern�ment agent) and reports by the Minfin on administering interna�tional reserves.

Individual Indicators Highlights

Net foreign assets of monetary authorities and creditinstitutions — balances of all transactions in assets and liabili�ties made by monetary authorities and credit institutions withnonresidents in foreign currency, in the Russian Federation cur�rency and precious metals.

Domestic credit — the total amount of the banking system’sclaims on government nonfinancial organizations, private sector,including households, on financial institutions (except for creditones) and net credit to the general government in the RussianFederation currency, foreign currency and precious metals.

Net credit to the general government — the bankingsystem’s claims on the Minfin, fiscal authorities in the RF con�stituent entities and local authorities, government extrabudgetaryfunds and extrabudgetary funds of the RF constituent entitiesand local authorities less deposits and other investments ofthese organizations in the Russian Federation banking system.

Money supply (by monetary survey methodology) is thetotal of money and quasi�money.

Money — all money supply in the country’s economy whichcan be immediately used for effecting payments. This aggregateis compiled as an array of aggregates “Money Outside Banks”and “Demand Deposits” in the banking system.

Quasi�money — banking system deposits which are notdirectly used for effecting payments and are less liquid than“Money”. This indicator is compiled as a sum of aggregates“Time and saving deposits and foreign currency deposits” ofmonetary authorities and credit institutions.

Other items (net) — sum total of corresponding aggre�gates in the “Analytical Accounts of Monetary Authorities” and“Analytical Accounts of Credit Institutions” tables as well as asum of differences in data of credit institutions and the CBR onmutual debt.

Table 1.17Money Supply

(National Definition)

General Provisions

The Table “Money Supply (national definition)” containsinformation on the amount, structure and dynamics of the M2aggregate, a major monetary aggregate used in elaborating theeconomic policy and setting quantitative macroeconomic tar�gets. The money supply is defined as the sum total of funds inthe Russian Federation currency, intended for use as paymentfor goods, work and services and for the accumulation of sav�ings by resident non�financial organisations and individuals.

The source of information for the calculation of the moneysupply is data of the monthly consolidated balance sheet ofRussian credit institutions and Bank of Russia consolidatedbalance sheet (the calculation includes obligations of creditinstitutions and the Bank of Russia to economic agents).

In addition to being published in the Bulletin of BankingStatistics, information on the amount, structure and dynamics ofthe money supply is available on the Bank of Russia home pagein the Internet.

Individual Indicators Highlights

Two components are singled out as part of the money supply.Cash in circulation (M0 monetary aggregate) is the most

liquid part of the money supply, accessible for immediate use asa means of payment. It includes banknotes and coins in circula�tion (see the indicator “Money outside banks” in the Table “Ana�lytical Accounts of Monetary Authorities”).

Non�cash funds comprise the balances of funds kept bynon�financial institutions and private individuals in settlement,current, deposit and other demand accounts, including plasticcard accounts, and time accounts opened with operating creditinstitutions in the Russian Federation currency and accruedinterest on them. Non�cash funds that are accounted for insimilar accounts in credit institutions whose licence has beenrecalled are not included in the M2 monetary aggregate.

Money supply (M2) is calculated as a sum of cash in circu�lation and non�cash funds. Unlike the money supply calculatedaccording to the monetary survey methodology, the money sup�ply in the national definition does not include foreign currencydeposits.

Table 1.18Broad Monetary Base

General Provisions

Table “Broad Monetary Base” presents information on thevolume, structure and dynamics of the monetary base. Thisindicator characterizes the ruble�denominated monetary obli�gations of the Bank of Russia, which ensure growth in the moneysupply. The monetary base is not a monetary aggregate but itserves as a basis for creating monetary aggregates, and there�fore it is also called “high�powered money”.

The broad monetary base comprises cash put into circula�tion by the Bank of Russia, including cash balances in bankvaults, balances in the required reserve accounts deposited bycredit institutions with the Bank of Russia, funds in credit institutions’correspondent and deposit accounts with the Bank of Russia, creditinstitutions’ investments in Bank of Russia bonds, reserve funds forforeign exchange operations deposited with the Bank of Russia andother Bank of Russia ruble�denominated obligations on operationswith credit institutions. Unlike the Reserves indicator, the table“Analytical Accounts of Monetary Authorities” does not show demanddeposits of the enterprises and organisations serviced by the Bankof Russia as part of the monetary base.

The source of information used in calculating the broad monetarybase is data from the Bank of Russia monthly consolidated balancesheet. In addition to the “Bulletin of Banking Statistics”, data on thevolume, structure and dynamics of the broad monetary base can befound in the Bank of Russia home page on the Internet.

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Individual Indicators Highlights

All elements of the broad monetary base are calculated in theRussian currency only.

Cash in circulation, including cash balances in bankvaults, is calculated as a sum of Cash (see Table 1.12) and cashbalances in bank vaults. Cash balances in Bank of Russia cashdepartments are not taken into account.

Required reserves are the balances in the required reserveaccounts deposited by credit institutions with the Bank of Russiaon borrowed funds in rubles and foreign currency.

Bank of Russia obligations on the reverse repurchase ofsecurities currently denote Bank of Russia obligations to creditinstitutions on operations conducted in accordance with Bank ofRussia Provision No. 176�P, dated January 11, 2002, “On theProcedure for Selling Securities by the Bank of Russia on theReverse Repurchase Basis”.

Reserve funds for foreign exchange operations depos�ited with the Bank of Russia is the amount of funds depositedin compliance with Bank of Russia Ordinance No. 1465�U, datedJune 29, 2004, “On Setting Requirements for Creating Reserveswhile Crediting/Debiting Special Bank Accounts.”

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Section 2. Major Indicators and Instrumentsof the Bank of Russia Monetary Policy

The CBR’s major function comprises development and con�duct of a unified government monetary policy aimed at defendingand securing the sustainability of the ruble.

To implement the said function, the CBR applies a set oftechniques and methods specified in the Federal Law “On theRussian Federation Central Bank (Bank of Russia)”: interestrates for CBR transactions, percentage ratios for required re�serves deposited in the CBR, open market operations, banksrefinancing, foreign exchange regulation, and other opera�tions.

This section contains information characterizing major ar�eas of CBR operations as well as instruments and methodsapplied for monetary regulation of the economy.

Table 2.1Bank of Russia Balance Sheet

General Provisions

The accounting and compiling of the Bank of Russia balancesheet are regulated by the Federal Law on the Central Bank of theRussian Federation (Bank of Russia), Federal Law on Account�ing, Bank of Russia Accounting Rules No. 66, dated Septem�ber 18, 1997 (with subsequent changes and additions) and otherBank of Russia enactments, issued in compliance with the abovefederal laws.

The methodology of compiling the Bank of Russia consoli�dated balance sheet and its structure have been approved by theBank of Russia Board of Directors.

Pursuant to Article 25 of the Federal Law on the Central Bankof the Russian Federation (Bank of Russia), the Bank of Russiapublishes its balance sheet each month.

In addition to being published in the monthly Bulletin ofBanking Statistics, Bank of Russia financial statements areincluded in the Bank of Russia Annual Report.

Individual Indicators Highlights

By assetsPrecious metals — this entry records precious metals re�

serves at the purchasing price.Foreign currency and securities held by nonresidents —

include CBR balances in ruble equivalent on correspondent accountswith nonresident banks, balances on deposit accounts withnonresident banks, loans extended to nonresident banks as well asnonresidents’ securities acquired by the CBR.

Credits and deposits include credits and deposits in theRussian and foreign currencies provided by the Bank of Russia toresident credit institutions and credits extended to otherorganisations in the Russian currency. Shown separately in the item“Credits to resident credit institutions” is the sum of loans extendedby the Bank of Russia to resident credit institutions in the Russiancurrency as refinancing. The item “For servicing foreign governmentdebt” shows the funds provided by the Bank of Russia to the Ministryof Finance through the Vneshekonombank under the federal laws toeffect urgent payments on the repayment and servicing of theRussian government’s foreign debt.

Securities are Bank of Russia investments in governmentsecurities (federal loan bonds, or OFZ), traded or not traded on theorganised securities market, Finance Ministry promissory notes,credit institutions’ notes and shares of credit institutions and otherorganisations (Bank of Russia participation).

Other assets — incorporate balances on Bank of Russia fixedassets accounts, the Bank’s claims on other operations, investmentsin securities from the Bank of Russia’s additional pension funds,operations�related settlements and other Bank of Russia transac�tions.

By liabilitiesCash in circulation — sum total of the CBR banknotes and

coins issued for circulation.Funds in accounts with the Bank of Russia are the balances

of funds in correspondent, deposit and required reserve accounts

placed by credit institutions with the Bank of Russia, balances ofaccounts opened with the Bank of Russia to account for federal,regional and local budget funds and also extra�budgetary funds andfunds of other Bank of Russia customers.

Float is a float accounted for in the Bank of Russia paymentsystem.

Other liabilities are the balance of incomes and expenses onoperations with securities, debt on interest charged but not received,Bank of Russia provisions, funds for complementary pensionpayments and balances of some other accounts.

Capital is the sum of authorised capital, additional capitaland reserve and special�purpose funds net of the sum of the lossincurred by the Bank of Russia in 1998.

Table 2.2Refinancing Rate

General Provisions

The “Refinancing Rate” table presents dynamics of changesin the refinancing rate since December 1995 (more prolongeddynamics of the refinancing rate since January 1, 1991 can befound on the CBR web site in the Internet).

Data on the effective refinancing rate are allocated on theCBR web site on the Internet on day after being fixed by the Boardof Directors, are disseminated through the Reuters agency, andpublished weekly in the “Bank of Russia Bulletin”.

Individual Indicators Highlights

Refinancing rate — monetary instrument by means of whichthe CBR affects interbank market rates, and rates on deposits oflegal entities and individuals, and also rates on credits extendedto them by credit institutions. Refinancing rate is one of theinterest rates used by the CBR for extending credits to banks inthe form of refinancing.

Table 2.3Required Reserve Ratios

General Provisions

The “Requires Reserve Ratios” table shows the dynamics ofchanges in fixed ratios in required reserves by terms and types oflegal entities’ and individuals’ funds denominated in the RussianFederation currency and foreign currency and drawn by creditinstitutions.

Data on ratios in required reserves and their changes arepublished by the resolution of the CBR Board of Directors in theweekly “Bank of Russia Bulletin”. These data are also placed onthe CBR Internet web site and disseminated through Reuters.

Individual Indicators Highlights

Required reserves (reserve claims) — one of the majorinstruments of the CBR monetary policy. They represent a mecha�nism for regulating the banking system’s general liquidity. Re�serve requirements are set with a view of restricting credit insti�tutions’ lending facilities and making barriers to unrestrictedgrowth of money supply. Once a credit institution’s license forbanking operations is revoked, its required reserves depositedwith the CBR can be used in accordance with the procedureestablished by federal laws and Bank of Russia regulatory rulesissued in compliance with these laws.

Pursuant to Article 38 of the Federal Law “On the RussianFederation Central Bank (Bank of Russia)”, required reserves inpercentage to credit institutions’ liabilities as well as the order ofdepositing them in Bank of Russia are set by the Bank of RussiaBoard of Directors.

A credit institution should deposit its required reserves with theBank of Russia in a special required reserve account with the Bankof Russia (by transferring funds to this account on a non�cash basis)and/or in its correspondent account with the Bank of Russia (by

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keeping an appropriate average monthly balance in it (fulfilling theaveraging charge), calculated at the averaging ratio established bythe Bank of Russia.

Note:

On August 1, 2004, the ratio of averaging the required reserveswas set at 0.2 for all credit institutions depositing the requiredreserves.

On October 1, 2004, the ratio of averaging the required reserveswas set at 1.0 for the settlement non�bank credit institutions and thesettlement centres of the organised securities market that depositthe required reserves.

Table 2.4Major indicators of the Bank of Russia

intraday and overnight loans

General provisions

Table “Major indicators of the Bank of Russia intraday andovernight loans” contains information on the Bank of Russia’sintraday and overnight loans extended daily on correspondentaccounts (correspondent subaccounts) of resident credit institu�tions of the Russian Federation opened with the Bank of Russia.

Lending operations are carried out pursuant to the Bank ofRussia’s Regulation No. 236�Р of August 4, 2003 “On Procedurefor Extending Bank of Russia Loans to Credit Institutions againstPledged Securities”.

Intraday loans are extended by executing settlement docu�ments (debiting a credit institution’s correspondent account(correspondent subaccunt) above the balance on these ac�counts) to ensure effective and uninterrupted functioning of theBank of Russia’s payment systems. The fee for intraday loans isfixed at nil on the decision of the Bank of Russia’s board ofdirectors.

Credit insititutions’ end of day debts on intraday loans areregistered as overnight loans for one working day. Presently theinterest rate on the Bank of Russia’s overnight loans equals theBank of Russia’s refinancing rate.

Individual Indicators Highlights

Date — the date on which the Bank of Russia extends loans.Extended loans — the amount of loans extended by the

Bank of Russia.Number of credit institutions (branches) — the number

of credit institutions (branches) which received Bank of Russialoans.

Number of the Bank of Russia territorial institutions —the number of the Bank of Russia territorial institutions with creditinstitutions’ correspondent accounts (correspondent subac�counts) on which the Bank of Russia extended loans.

Number of credit institutions (branches) in the Moscowregion — the number of credit institutions (branches) whichreceived Bank of Russia loans on correspondent accounts (cor�respondent subaccounts) opened with the Bank of Russia’ssettlement institutions in the Moscow region.

Amount of loans extended in the Moscow region — theamount of Bank of Russia loans entered on credit institutions’correspondent accounts (correspondent subaccounts) openedwith the Bank of Russia’s settlement institutions in the Moscowregion.

Note: Presently the Bank of Russia can extend intraday andovernight loans to credit institutions on their correspondent ac�counts (correspondent subaccounts) opened with the following45 locally based Bank of Russia institutions: Amur Region,Arkhangelsk Region, Astrakhan Region, Belgorod Region, BryanskRegion, Vladimir Region, Volgograd Region, Vologda Region,Voronezh Region, Irkutsk Region, Kaliningrad Region, KalugaRegion, Kemerovo Region, Kirov Region, Krasnodar Territory,Krasnoyarsk Territory, Leningrad Region, Magadan Region,Murmansk Region, Nizhni Novgorod Region, Novosibirsk Region,Omsk Region, Primorski Territory, Perm Region, Rostov Region,Ryazan Region, Samara Region, St. Petersburg, Saratov Region,Sverdlovsk Region, Smolensk Region, Stavropol Territory, Tambov

Region, Tver Region, Tomsk Region, Tula Region, Tyumen Region,Chelyabinsk Region, Khabarovsk Territory, Yaroslavl Region,Republic of Altai, Republic of Bashkortostan, Republic of Khakassia,Republic of Komi, Republic of Mariy�El, Republic of Tatarstan(Tatarstan), and the Moscow branch of the Bank of Russia.

Table 2.5Major Indicators Characterising Bank of RussiaOperations on Holding Lombard Loan Auctions

General Provisions

Table “Major indicators of the Bank of Russia’s lombardloans auctions” contains information on the Bank of Russia’srefinancing of credit institutions to regulate the bank liquiditythrough extending lombard loans pursuant to the Bank of Russia’sRegulation No. 236�P of August 4, 2003 “On the Procedure forExtending Bank of Russia loans to Credit Institutions Against PledgedSecurities”. The Table contains data on the results of lombard loanauctions for the previous month.

Data on the Bank of Russia’s Lombard loan auctions is availableon the Bank of Russia’s website and on the CBCREDIT page of theReuters news agency website.

Individual Indicators Highlights

Bid rates are interest rates indicated by a credit institution ina bid for participation in the Lombard loan auction. Lombard loanauctions are held by the Bank of Russia as interest tenders ofcredit institutions’ bids for participation in the Lombard loanauction. The interest rate indicated in a credit institution bidshould not be lower than the cut�off rate set by the Bank of RussiaBoard of Directors. Currently the cut�off rate is set at 7% p.a.

The average weighted rate is a rate weighted by volumesof credit institutions’ competitive bids met at the auction andterms of a Lombard loan.

Table 2.6Average Weighted Interest Rates on Bank of Russia

Deposit Operations on Money MarketTable 2.7

Structure of Funds Borrowed in Bank of RussiaDeposit Operations on Money Market

Table 2.8Major Characteristics of Bank of Russia

Deposit Auctions

General Provisions

The Bank of Russia conducts deposit operations pursuant toArticle 46 of the Federal Law on the Central Bank of the RussianFederation (Bank of Russia) with the aim of regulating bankingsector liquidity by taking credit institutions’ funds on deposit.Deposit operations are conducted with resident credit institu�tions only and in the Russian Federation currency.

The Table entitled “Average Weighted Interest Rates onBorrowed Funds in Bank of Russia Deposit Operations on theMoney Market” contains information on monthly dynamics ofaverage weighted interest rates on funds taken by the Bank ofRussia on deposit in the Russian currency on standard depositoperation conditions. Average rates are weighted by amountsand borrowing terms. Data are grouped by the dates on whichfunds were actually transferred to Bank of Russia deposits.

The Table “Structure of Borrowed Funds in Bank of RussiaDeposit Operations on the Money Market” contains informa�tion on monthly dynamics of the proportion of funds taken bythe Bank of Russia on deposit on each standard deposit op�eration condition in the aggregate amount of funds taken bythe Bank of Russia on deposit. Data are grouped by the dateson which funds were actually transferred to Bank of Russiadeposits.

The Table “Major Characteristics of Bank of Russia DepositAuctions” contains official information on the results of depositauctions.

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The range of credit institutions that may participate in Bank ofRussia deposit operations and the standard conditions of depositoperations are established in Bank of Russia Provision No. 203�P,dated November 5, 2002, “On the Procedure for Conducting DepositOperations by the Central Bank of the Russian Federation withCredit Institutions in the Russian Federation Currency” (hereinafterreferred to as Provision 203�P).

Information is derived from data on banks’ funds that wereactually taken on deposit, received from the Bank of Russia re�gional branches and Operations Department No. 1 (OPERU�1).

Information on Bank of Russia deposit operations can befound not only in the Bulletin of Banking Statistics, but also on theBank of Russia site in the Internet and Reuters news agency’shome page CBDEPOS.

Individual Indicators Highlights

Provision 203�P defines the standard conditions of depositoperations as follows:

Overnight is a deposit operation with a term of one workingday (if a deposit operation is conducted on Friday, its term is aperiod from Friday to Monday inclusive), in which funds areentered (transferred) to a “depo” account opened with the Bankof Russia on the operation day, while the amount deposited isreturned and interest is paid on the working day following the day onwhich funds were entered (transferred) to a “depo” account openedwith the Bank of Russia.

Tom�next is a deposit operation with a term of one workingday (if a deposit operation is conducted on Thursday, its term isa period from Friday to Monday inclusive), in which funds areentered (transferred) to a “depo” account opened with the Bankof Russia on the working day following the operation day, whilethe deposited amount is returned and interest is paid on the dayon which funds were entered (transferred) to a “depo” accountopened with the Bank of Russia;

One week is a deposit operation with a term of seven calen�dar days, in which funds are entered (transferred) to a “depo”account opened with the Bank of Russia on the day of the opera�tion, while the deposited amount is returned and interest is paidon the seventh calendar day after the day on which funds wereentered (transferred) to a “depo” account opened with the Bankof Russia.

Two weeks is a deposit operation with a term of 14 calen�dar days, in which funds are entered (transferred) to a “depo”account opened with the Bank of Russia on the day of theoperation, while the deposited amount is returned and interestis paid on the 14th calendar day after the day on which fundswere entered (transferred) to a “depo” account opened with theBank of Russia.

Spot�next is a deposit operation with a term of one workingday (if a deposit operation is conducted on Wednesday, its termis a period from Friday to Monday inclusive), in which funds areentered (transferred) to a “depo” account opened with theBank of Russia on the second working day after the operationday, while the deposited amount is returned and interest is paidon the working day following the day on which funds wereentered (transferred) to a “depo” account opened with theBank of Russia.

Spot/one week is a deposit operation with a term of sevencalendar days, in which funds are entered (transferred) to a“depo” account opened with the Bank of Russia on the secondworking day after the operation day, while the deposited amountis returned and interest is paid on the seventh calendar dayfollowing the day on which funds were entered (transferred) to a“depo” account opened with the Bank of Russia.

Spot/two weeks is a deposit operation with a term of 14 cal�endar days, in which funds are entered (transferred) to a “depo”account opened with the Bank of Russia on the second workingday after the operation day, while the deposited amount is re�turned and interest is paid on the 14th calendar day following theday on which funds were entered (transferred) to a “depo” ac�count opened with the Bank of Russia.

Four weeks is a deposit operation with a term of 28 calendardays, in which funds are entered (transferred) to a deposit accountopened with the Bank of Russia on the operation day and the depositamount is returned and interest paid on the 28th calendar day

following the day on which the funds were entered (transferred) tothe deposit account with the Bank of Russia.

1 month is a deposit operation with a term of 1 month, in whichfunds are entered (transferred) to a “depo” account opened with theBank of Russia on the operation day, while the deposited amount isreturned and interest is paid within a term established inparagraph 1.5 of Provision 203�P;

3 months is a deposit operation with a term of three months,in which funds are entered (transferred) to a “depo” accountopened with the Bank of Russia on the operation day, while thedeposited amount is returned and interest is paid within a termestablished in paragraph 1.5 of Provision 203�P;

Demand deposit is a deposit operation in which funds areentered (transferred) to a demand “depo” account opened with theBank of Russia on the operation day, while the deposited amount isreturned and interest is paid at the request of the credit institutionmade to the Bank of Russia through the Reuters Dealing System toreturn the demand deposit within the term indicated by the creditinstitution in the document confirming the negotiations on the returnof the demand deposit to the credit institution.

All terms is an average interest rate on the funds that wereactually taken on deposit with the Bank of Russia in the corre�sponding period, weighted by the term and amount of the depositedfunds.

The Bank of Russia may conduct deposit operations throughthe Reuters Dealing System and the MICEX Electronic TradingSystem on other standard conditions.

Table 2.9REPO Aggregates

General Provisions

Table 2.7 “REPO Aggregates” contains information on theresults of the Bank of Russia’s REPO transactions with GKO—OFZ (referred to as Bonds) in the form of auction and/or duringthe trading session at the GKO—OFZ market at the market�determined rate.

Individual Indicators Highlights

Date — the date of auction and/or Bond sales during thetrading session.

Weighted average rate — the REPO rate weighted by theamounts of REPO transactions at the auction and/or during thetrading session at the market�determined rate.

Weighted average duration — REPO duration weighted bythe amounts of REPO transactions at the auction and/or duringthe trading session at the market�determined rate.

Debt — funds provided by the Bank of Russia at the REPOauction and/or during the trading session in transactions with theunredeemed second part.

Table 2.10Main Characteristics of Modified Reverse

REPO Auctions

General Provisions

Table 2.8 “Main Characteristics of Modified Reverse REPOAuctions” contains information on the results of auction sales ofOFZ (referred to as Bonds) from the Bank of Russia portfolio withrepurchase obligation, held in accordance with Bank of Russia’sAct No. 176�P of January 11, 2002 “On the Procedure for theBank of Russia’s Sale of Government Securities with Repur�chase Obligation”.

Individual Indicators Highlights

Duration — the period before the repurchasing of sold Bondson the date prescribed by the irrevocable public offer.

Buyback date — the date of repurchasing of Bonds at thedate prescribed by irrevocable public offer.

Registered number of security, provided as a collateral —the government registered number of a Bond issue sold by the Bankof Russia under the repurchase obligation.

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Average weighted rate — the yield to repurchase of Bonds bythe Bank of Russia which is calculated using the weighted averageprice of the Bond issue being sold.

Marginal rate — the yield to repurchase of Bonds by the Bankof Russia which is calculated using the cut�off price of the Bondissue being sold.

Bids (Market Value) — the total value of the auction competi�tive and non�competitive bids.

Weighted average price — the average price of all ac�cepted competitive bids weighted by values of bids.

Cut�off price — Bond minimal price established by the Bankof Russia on the basis of bid list.

Accrued interest — accrued bond interest as calculated atthe auction date.

Table 2.11Repo securities market

General Provisions

The Table “Repo securities market” contains data on majorindicators, which characterise the secondary market of OFZfrom the Bank of Russia portfolio sold in repo transactions (here�inafter referred to as bonds).

Individual Indicators Highlights

Portfolio indicator is an average weighted yield of bonds to berepurchased by the Bank of Russia (by maturities to redemption ofbonds through an irrevocable public offer and by outstandingvolumes at market value).

Portfolio duration is an average maturity to payments onbonds (payments during the repurchase and coupon paymentsin the period to the repurchase through offer) weighted by out�standing volumes at market value.

The ratio of turnover at par value is the ratio of the second�ary market bond turnover to bond market volume at par value.

Debt is the value of funds attracted by the Bank of Russiathrough repo operations with OFZ from its portfolio of all issueswith the offer date not due yet.

Table 2.12Official US Dollar to Ruble Rate

Table 2.13Official Euro to Ruble Rate

General Provisions

Foreign currencies’ official rates to the Russian ruble are fixedand quoted by the Russian Federation Central Bank pursuant toArticle 53 of the Federal Law “On the Russian Federation CentralBank (Bank of Russia)”. They are applied for calculating revenuesand expenditures of the government budget for all types of paymentsand settlements by the government with enterprises, associations,organizations, and households as well as for taxation and accounting.

Foreign currencies’ official rates to the Russian ruble are quoteddaily by the CBR to Reuters and other mass media. They also arepublished in the weekly “Bank of Russia Bulletin” and placed on theCBR Internet web site.

Individual Indicators Highlights

Official US dollar to ruble rate — is set by the Bank of Russiaeach business day on the basis of current business�day quotationsfor US dollar/Russian ruble operations on the interbank exchangeand over�the�counter currency markets.

Official euro to ruble rate — is calculated and set on the basisof the official US dollar/Russian ruble rate and euro/US dollar rateset in international currency markets for spot transactions.

These rates come into effect on the calendar day following theday they were set on and remain effective until the next official rateof these currencies comes into effect unless Bank of Russia rulesotherwise.

Table 2.16Bank of Russia Precious Metals Quotes

General Provisions

To facilitate further development of the precious metalsmarket in Russia, the Bank of Russia, pursuant to its OrdinanceNo. 1283�U, dated May 28, 2003, “On the Procedure for Settingthe Accounting Prices of Refined Precious Metals by the Bank ofRussia,” calculates on a daily basis since July 7, 2003, the ac�counting prices of refined gold, silver, platinum and palladium inbullion on the basis of current price fixings on the London spotmetals market, reduced by a discount equalling the average costof delivery of each precious metal to the international market.The resultant value is recalculated in rubles at the official USdollar/ruble rate effective on the day following the day on whichthe accounting prices were set.

The Table “Accounting Prices of Precious Metals Set byBank of Russia” shows the daily accounting prices of the aboveprecious metals during the accounting month.

The following discounts were set as of July 9, 2003, for theprecious metal price fixings effective at the time of calculation onthe London spot metal market:— 0.5% for gold;— 2.0% for silver;— 7.5% for platinum and palladium.

To enable credit institutions to account for precious metals(gold, silver, platinum and palladium), it has been establishedthat the accounting prices of refined gold, silver, platinum andpalladium come into effect on the business day following the dayon which they were approved and remain effective until the Bankof Russia sets new accounting prices.

Bank of Russia Ordinance No. 1284�U, dated May 28, 2003,“On Invalidating Some Bank of Russia Regulations” repealedBank of Russia Ordinance No. 652�U, dated September 30, 1999,“On the Procedure for Calculating the Bank of Russia Buying andSelling Prices of Refined Precious Metals in Operations withCredit Institutions” (with changes and amendments), which setthe procedure for fixing prices for Bank of Russia transactions tobuy and sell precious metals on the domestic market.

The accounting prices of precious metals set by the Bank ofRussia are published in the Bank of Russia Bulletin, reported byInterfax, Prime�TASS, Reuters, Associated Press and other newsagencies and available on the Bank of Russia home page on theInternet.

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Section 3. Financial Markets

Subsection 3.1Interbank Credit Market

Table 3.1.1Monthly Average Moscow Interbank Bid Rates(MIBID), Monthly Average Moscow Interbank

Offered Rates (MIBOR) and Monthly WeightedAverage Moscow Interbank Actual Credit Rates

(MIACR)Table 3.1.2

Daily Average Moscow Interbank Bid Rates (MIBID)Daily Average Moscow Interbank Offered Rates(MIBOR) and Daily Weighted Average Moscow

Interbank Actual Credit Rates (MIACR)

General Provisions

The tables 3.1.1—3.1.2 present the credit institutions’ ratesfor attracting/offering and loans for conventional fixed terms(1 day, 2 to 7 days, 8 to 30 days, 31 to 90 days, 91 to 180 days,181 days to 1 year). The tables show the range and changes inthe interbank multiterm loans. MIBOR and MIACR tables can beused for analyzing fluctuations in posted bid rates as comparedagainst the offered rates and actual rates settled for extendedcredits. In general, the data in the tables are consistent with otherdata published in the Bulletin and can be applied to a compreh�ensivе analysis of the financial market standing.

Data source: daily sampling of credit institutions which areprincipal agents of the Moscow Interbank Market.

The interbank credit rates are published in the weekly “Bankof Russia Bulletin”, the “Bulletin of Banking Statistics” and placedon the CBR Internet web site.

Individual Indicators Highlights

Moscow Interbank Bid Rates (MIBID) and Moscow In�terbank Offered Rates are calculated as monthly average fromdaily recalculated bid/offered rates on interbank credits.

Moscow Interbank Actual Credit Rate (MIACR) is calcu�lated as average monthly weighted of actual transaction volumesof interbank credits.

Moscow interbank bid/offered rates are defined for eachdate and term as a simple average of daily recalculated bid/of�fered rates for corresponding terms and for all related banks.The calculation, however, does not include bid/offered rates forbanks’ branches.

For each standard term the posted bid/offered rates arecomputed as a simple average by the following formula:

wherenPn

p ,=–

— posted current bid/offered rates (MIBID/MIBOR);P

n— posted current bid/offered rate by a specific bank;

n — number of banks whose data are used for computing spe�cific standard term.

Moscow interbank actual credit rates are calculatedfor each date and every standard credit term as an averageweighted of total actual credit contracts. No records are made ofrates on credits extended by banks to its branches or on rollovercredits.

Interbank actual credit rates are defined for every standardcredit term as a weighted average through the formula:

whereSn

KnSnp ,=–

— current actual credit rate (MIACR);K

n— rate of interbank credits extended by n�bank on this day;

Sn

— total loans extended by n�bank over this day;n — number of banks whose data are used to compute a rate fora specified credit term.

Terms are based on number of working days within a period.

p–

p–

Subsection 3.2Exchange Market

Table 3.2.1US Dollar Trade at Interbank Currency Exchange

Table 3.2.2Euro Trade at Interbank Currency Exchange

General Provisions

Trade in foreign currencies for Russian rubles is conductedat the interbank exchange markets — special markets licensedby the CBR for arranging purchase and sale of foreign currenciesfor Russian rubles, include the following settlements. Bids areperformed on a daily basis except weekends and public holidays.The bidding participants are authorised banks, members of theexchanges (the Bank of Russia may also take part). Trading andsettlements on the interbank currency exchanges are regulatedby the rules approved by the authorized bodies of the interbankcurrency exchanges and agreed with the Bank of Russia.

The tables contain data on the principal interbank exchangemarkets operating with US dollars and the Euro. Data are ob�tained from the monthly reporting of the authorized exchangemarkets and CBR regional departments.

The bidding results are published in the “Bulletin of BankingStatistics”, the weekly “Bank of Russia Bulletin” and placed on theCBR Internet web site. In addition, relevant information is releaseddaily to the mass media for dissemination.

Individual Indicators Highlights

Average weighted rate is defined as an average weightedrate with the following formula:

whereVi

Ri Vir ,=–

— average weighted rate;Ri — average weighted rate of a bidding session;Vi — trading volume.

Trading volume is the total number of contracts settled overa bidding session.

Table 3.2.3Average Daily Turnover of Interbank Spot

Conversation Transactions (in all currencies)Table 3.2.4

Average Daily Turnover of Interbank SpotConversation Transactions

(RF rouble against other currencies)Table 3.2.5

Average Daily Turnover of Interbank SpotConversation Transactions

(US dollar against other currencies)Table 3.2.6

Average Daily Turnover of Interbank SpotConversation Transactions

(Euro against other currencies)

General Provisions

Tables are based on data from credit institutions, which arethe largest domestic foreign exchange market operators.Theshare of these credit institutions (further — the banks�respon�dents) in total turnover of interbank conversion transactionsexceeds, by Bank of Russia’s estimate,99%.

Individual Indicators Highlights

Cash operations signify transactions for settlements effectedno later than the second bank business day after the transactionday.

r–

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Interbank conversion operation turnover includes the value ofexchange transactions conducted by respondent banks, the value ofover�the�counter transactions conducted by respondent banks withone another, excluding duplication, and the value of over�the�countertransactions conducted by respondent banks with non�respondentbanks, non�resident banks included.

Calculation of interbank conversion operations turnover takesinto account currency swap operations, interbank index transac�tions and interbank foreign exchange transactions (encashingaccounts) and does not include conversion operations conductedby banks with their branches or main offices.

Currency swap operations are regarded as two conversiontransactions to buy and sell the same amount of one currency foranother currency.

All currencies turnover is the value of the deals struck (thevalue of the turnover of all currencies divided by 2).

Table 3.2.7Foreign Cash Flow Through Authorized Banks

Across Russia

General Provisions

The table “Foreign Cash Flow Through Authorized BanksAcross Russia” comprises principal indicators of foreign cashcirculation within the RF territory.

Data in the table are obtained from monthly reporting onforeign cash flows and documentary payments in foreign cur�rency by credit institutions licensed for foreign currency transac�tions (authorized banks).

Information on foreign cash flow through Russia’s autho�rized banks is published in the “Bulletin of Banking Statistics”,the weekly “Bank of Russia Bulletin” and placed on the CBRInternet web site.

Individual Indicators Highlights

Total foreign currency receipts — include all foreign cur�rency cash receipts to vaults in authorized banks (and theirbranches) excluding the interbranch turnover.

Banks’ imports (entered to cash account) to Russia —the amount of foreign cash imported to Russian territory byauthorized banks and entered into cash accounts.

Purchased from resident banks1 — foreign cash posted totills of authorized banks as a result of transactions with otherresident banks.

Purchased from individuals and accepted for conver�sion — amount of foreign cash purchased or accepted for con�version (exchange of one foreign currency for another) fromindividuals (residents and nonresidents) as recorded in the for�eign cash registers.

Received from individuals (residents and nonresidents)for entering into their foreign currency accounts — foreigncash received from individuals (resident and nonresident) forentering into their foreign currency accounts.

Received from legal entities for entering into their for�eign currency accounts — foreign cash receipts from corpo�rate bodies (residents and nonresidents) to reflect earlier with�drawals from an authorized bank to pay for travels abroad, ifthere is any surplus, and foreign cash credited to foreign cur�rency accounts by legal entities (residents and nonresidents)based on the Bank of Russia’s permission.

Other receipts include other foreign cash amounts, inclu�sive of:— commission charged in foreign currency for transactions

with foreign cash and foreign currency payment documents;— the returned balances of the amounts that were withdrawn

by legal entities (resident and nonresident) from their for�eign currency accounts with authorized banks to cover travelexpenses on business trips abroad and not spent in full;

— foreign cash entered to current accounts of legal entitiesupon the approval by the Bank of Russia;

1 Concepts of residents and nonresidents used for compiling tables on “Foreign Cash Flow through Authorized Banks Across Russia”, “Selected Indicators Featuring ForeignCash Transactions by Authorized Banks’ Exchange Offices”, “Average Foreign Cash Purchase and Sale Transactions with Individuals by Authorized Banks and Their Branches”are determined by the Russian Federation Law “On Foreign Exchange Regulation and Control” as of 10.12.2003 No. 173�FZ.2 Foreign cash withdrawals from individuals’ foreign currency accounts (resident and nonresident) through the ATM of authorized banks (and their branches) that are not issuersof credit and debit cards used for withdrawals, are included in item “Other”.

— foreign currency brought to the Russian Federation by nonresi�dent banks to replenish their correspondent accounts andposted to tills of the authorized banks;

— posting to tills of authorized banks of foreign banknoteswhose authenticity has been confirmed by the appropriatecertified authentification experts;

— non�usable foreign banknotes bought for cash rubles andposted to tills of authorized banks;

— entering of contributions, sponsorial and other charitabledonations to accounts of enterprises and organisations;

— crediting of earnings from selling goods (services and works)abroad to accounts of enterprises and organisations;

— entering of earnings from selling goods for foreign currencyin duty�free shops to accounts of resident legal entities;

— entering of duties and customs levied in foreign currency;— foreign cash deposited by individuals for non�commercial

transfers abroad;— foreign cash deposited by individuals for redemption of loans

granted by authorized banks;— earnings from foreign currency documentary payment;— other legitimate foreign currency receipts.

Total foreign cash expenses — all types of foreign cashexpenditures by authorized banks (branches) except for inter�branch turnover payments.

Banks’ exports from Russia (“cash” account debit) —amount of foreign cash exported from the Russian Federation byauthorized banks.

Sales to resident banks — amount of foreign cash with�drawn from tills of authorized banks as a result of transactionswith other resident banks.

Sales to individuals — amount of foreign currency sold toindividuals (residents and nonresidents) or paid out as a result offoreign currency conversion (exchanged for another foreigncurrency) as recorded in the foreign cash registers.

Payments from personal foreign currency accounts(residents and nonresidents)2 — foreign cash amounts paidout to individuals (resident and nonresident) from their foreigncurrency accounts.

Payments from corporate foreign currency accounts —foreign cash withdrawals by corporate clients (residents andnonresidents) from their foreign currency accounts to pay offoverseas business travels, and foreign cash withdrawals fromcurrent foreign currency accounts of corporate entities (resi�dents and nonresidents) as authorized by the CBR.

Other — other types of foreign cash use, inclusive of:— expenses to acquire foreign currency payment documents;— foreign currency loans to individuals;— foreign cash payments to individuals from their ruble ac�

counts (including through ruble cards);— foreign cash payments from current accounts of legal enti�

ties (resident and nonresident) upon the approval by theBank of Russia;

— other expenses allowed by foreign exchange legislation,including amounts in foreign cash paid out to legal entities(resident and nonresident) from their foreign currency ac�counts with authorized banks to cover expenses related tobusiness trips of their employees abroad.Foreign cash balances at the end of reporting period —

amount of foreign cash balance at the end of reporting month.

Table 3.2.8Selected Indicators Featuring Foreign Cash

Transactions by Authorized Banks’Exchange Offices

General Provisions

The “Selected Indicators Featuring Foreign Cash Transac�tions by Authorized Banks’Exchange Offices” table shows trans�actions in US dollars and the Euro, which are the key currenciesavailable at the domestic foreign cash market.

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Data are provided by monthly reporting on foreign cash flows anddocumentary payments in foreign currency by credit institutionslicensed for foreign currency transactions (authorized banks).

Along with releasing information on selected indicators offoreign cash operations by exchange offices of the authorizedbanks through “Bulletin of Banking Statistics”, it is also availableon the CBR Internet web site.

Individual Indicators Highlights

Average single transaction — average foreign cash in�volved in one transaction. The indicator is defined as the ratio offoreign cash amount purchased/sold to/from residents or non�residents for ruble cash to the number of transactions for foreigncash purchase/sale for rubles in cash .

Number of transactions — number of foreign cash pur�chases/sales for cash rubles.

Average monthly rate — average rate of foreign cash sales/purchases defined as the ratio of cash rubles received/paid forforeign cash to the amount of foreign currency purchased/soldfor cash rubles from/to residents and nonresidents.

Average transaction margin — difference between ratesof foreign cash purchase and sale.

Percentage share of a specific foreign currency trans�action in total volume of foreign cash transactions by ex�change offices — share of purchase/sale transactions for aspecific currency (US dollar, Euro) in the total volume of transac�tions in all foreign currencies.

Table 3.2.9Average Foreign Cash Purchase and Sale

Transactions with Individuals by Authorized Banksand Their Branches

General Provisions

The table shows purchase and sale transactions with indi�viduals by authorized banks and their branches ranged by anaverage transaction amount. This differentiates between totalsof foreign cash purchases/sales to/from individuals based onfixed amount intervals for transactions. The information is pro�vided by monthly reporting on foreign cash flows and documen�tary payments in foreign currency by credit institutions licensedfor foreign currency transactions (authorized banks).

Information on average foreign cash purchase and sale trans�actions with individuals by authorized banks and their branchescan be had through “Bulletin of Banking Statistics”, and it is alsoavailable on the CBR Internet web site.

Individual Indicators Highlights

Transactions volume�based distribution is defined as theratio of foreign cash purchased/sold to/from residents and non�residents in cash rubles to a number of foreign exchange trans�actions in cash rubles reported by each authorized bank’s (branchor headquaters for lack of branches). The amount of purcha�sed/sold foreign cash and the number of within�an�interval trans�actions by all branches or headquarters show the general distri�bution of the estimated average transaction.

Subsection 3.3Main Characteristics of the

Government Securities Market

The subsection “Main Characteristics of the GovernmentSecurities Market” comprises data on specific placement andredemption parameters of short�term government bond (GKO)and federal loan bond (OFZ) issues and indicators characterisingGKO and OFZ secondary trading.

For details about the terms and conditions of governmentsecurities issues, circulation and redemption, see the Provisionof Bank of Russia No. 219�P, dated March 25, 2003,on the Ser�vicing and Circulation of the issues of Government securities.

The data source for all tables characterising the GKO—OFZmarket is the global certificate of issue and information provided ona daily basis by the Moscow Interbank Currency Exchange (MICEX).

Data on operations with government securities are publishednot only in the Bulletin of Banking Statistics, but also in the weeklyBank of Russia Bulletin (Vestnik Banka Rossii) and in the subsection“Government Securities Market” of the section “Financial Markets”in the Bank of Russia site on the Internet.

Table 3.3.1Main Highlights of Auctions

for GKO—OFZ Placement

General Provisions

The Table “Main Highlights of Auctions for GKO—OFZ Place�ment” contains information on the results of the GKO—OFZprimary placement.

Individual Indicators Highlights

Date — date of the GKO—OFZ primary placement.Bond code determines the issue put up for auction.Demand volume — maximum volume of the issue that auc�

tion participants were ready to acquire.Volume placed — the issue volume actually acquired by

auction participants.Cut�off price determines the bottom price level of accepted

bids.Average weighted price is the ratio of proceeds to the bond

volume placed.Official yield by the average weighted price — yield to

maturity calculated by the average weighted price in accordancewith the official method of yield assessment for the given type ofbonds (GKO — simple yield, OFZ — effective yield).

Table 3.3.2Data on Government Securities Redemption

and Coupon Payments

General Provisions

The table “Data on Government Securities Redemption andCoupon Payments” contains data on the expenses involved inbond redemption in the GKO—OFZ market.

Individual Indicators Highlights

Date of placement — the date of floating a security issue,which was redeemed or on which the coupon payments wereeffected.

Security code — a unique identifier of an issue given inaccordance with the Provision.

Volume of redemption/coupon payment — the moneyspent on redemption/coupon payment.

Volume in circulation — the current nominal amount ofsecurities in circulation on the payment date.

Current coupon rate — the rate of coupon income on thepayment date.

Table 3.3.3Term Structure of Bonded Debt

(the GKO—OFZ part thereof)Table 3.3.4

Main Characteristicsof the Secondary GKO—OFZ Market

General Provisions

The table “Term Structure of Bonded Debt (the GKO—OFZpart thereof)” shows how the GKO—OFZ market is structured interms of bond maturity.

The table “Main Characteristics of the Secondary GKO—OFZ Market” contains the principal indicators on GKO—OFZsecondary trading.

These data apply to outstanding bonds only. For detailsabout how these indicators are calculated, visit the Bank ofRussia site on the Internet.

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Individual Indicators Highlights

Share of total volume in circulation at par — calculated asthe ratio of the volume in circulation of a specific kind of securitiesto the volume of all outstanding bonds at face value.

Market portfolio indicator — mean effective yield on a spe�cific kind of securities, weighted by time to redemption and volumein circulation.

Market turnover indicator — mean effective yield on aspecific type of securities, weighted by time to redemption andturnover.

Turnover rate — the ratio of secondary market turnover tomarket volume.

Duration — the average volume�weighted period to interestpayments on securities, including coupon payments.

Government short�term bonds — short�term couponlesstreasury bills.

Investment federal loan bonds — zero�coupon federalloan bonds.

Permanent�income federal loan bonds — federal loanbonds with a permanent coupon interest rate (these do notinclude investment federal loan bonds). This kind of securitiesdiffers from others in that their coupon interest rate remainsunchanged throughout their life.

Fixed�income federal loan bonds — federal loan bondswith a fixed coupon interest rate. Unlike the permanent�incomefederal loan bonds, these bonds have coupon interest rates thatchange throughout their life.

Federal loan bonds with debt depreciation — federalloan bonds whose nominal value is redeemed by installments.Coupon interest rate on these bonds is fixed for each couponand coupon income is paid on the unredeemed part of nominalvalue.

Table 3.3.5Average Weighted Interest Rates

of the Government Securities Market

General Provisions

The table “Average Weighted Interest Rates of the Govern�ment Securities Market” reflects the GKO—OFZ interest ratesdepending on residual maturities. The calculation covers allmarketable issues.

The information on the average weighted interest rates of theGovernment securities market is published in the Bulletin ofBanking Statistics and placed on the Bank of Russia website.

Individual Indicators Highlights

The short�term indicator of the market portfolio — anaverage of effective yields on issues with residual maturities upto

90 days inclusive, weighted by residual maturities and tradingvolumes.

The medium�term indicator of the market portfolio — anaverage of effective yields on issues with residual maturities from91 to 364 days inclusive, weighted by residual maturties and tradingvolumes.

The long�term indicator of the market portfolio — anaverage of effective yields on issues with residual maturities over364 days, weighted by residual maturities and trading volumes.

Table 3.4Some Corporate Securities Market Indicators

General Provisions

The table “Some corporate securities market indices” presentsdata on the values of the MICEX and RTS indices and trade turnoverson the Moscow Interbank Currency Exchange (MICEX) and theRussian Trading System (RTS).

The MICEX index has been calculated since September 22,1997 (beginning from 100 points), using share prices in rubles. Theindex calculation base includes shares selected by the exchange’sexperts. The exchange cannot make changes in the index calculationbase more often than once every quarter.

The RTS, the official index of the RTS Stock Exchange, has beencalculated since September 1, 1995, beginning from 100 points.Share prices are denominated in US dollars. The list of shares usedin the RTS index calculation includes the shares selected by experts.It may not be revised more often than once every three months.

Individual Indicators Highlights

MICEX trade turnover is the sum total of secondary trades inshares and corporate bonds conducted on the MICEX stock marketin rubles. The US dollar indicator is calculated at the official rate setby the Bank of Russia for the corresponding day.

MICEX index is the effective capitalisation�weighted index ofthe market on which the most liquid MICEX�listed shares of Russianissuers are traded.

RTS trade turnover is the sum total of secondary trades inshares and corporate bonds conducted in the RTS in US dollars.

RTS index (expressed in foreign currency) is calculated as theratio of the aggregate effective capitalisation of the shares listed forthe index calculation to the aggregate effective capitalisation ofthese shares as of the initial date, multiplied by the index as of theinitial date and the correction ratio established to take account of thechanges made in the list of shares. The effective capitalisation ofshares is calculated using a coefficient that takes into account theexpert evaluation of the number of freely traded shares of each kind.

For further details, visit the exchanges’ websites at http://www.micex.ru and http://www.rts.ru.

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1 The right to take household savings on deposit is granted to banks that have operated for at least two years after their state registration.

Section 4. Credit Institutions Performance

Subsection 4.1General Description

Table 4.1.1Number and Structure of Credit Institutions

General Provisions

The “Number and Structure of Credit Institutions” table pro�vides data on the number and structure of the registered creditinstitutions in the Russian Federation.

Credit institutions are subject to the state registration pursu�ant to the Federal Law on the State Registration of Legal Entities.They are registered according to the procedure established byArticles 4 and 59 of the Federal Law on the Central Bank of theRussian Federation (Bank of Russia) and Article 12 of the FederalLaw on Banks and Banking Activities.

The Bank of Russia takes decisions on the state registrationof credit institutions, grants banking licences to them and sus�pends and revokes such licences.

Data on the establishment, reorganisation and liquidation ofcredit institutions and other data stipulated by federal laws areentered into the single state register of legal entities by theauthorized registering body on the basis of a Bank of Russiadecision on the corresponding state registration. The Bank ofRussia interacts with the authorised registering body on issuesrelating to the state registration of credit institutions in accor�dance with the procedure agreed by the Bank of Russia with theauthorized registering body. (For the procedure to register creditinstitutions and license banking activities, see also Bank of Rus�sia Instruction No. 75�I, dated July 23, 1998, “On the Procedurefor Applying the Federal Laws Regulating the Procedure forRegistering Credit Institutions and Licensing Banking Activities”(with changes and additions).)

To fulfil its controlling and supervisory functions, Bank of Russiakeeps the State Register of Credit Institutions in accordance withthe procedure established by the federal laws and Bank of Russiarules and regulations issued in pursuance of these laws.

The register of licences granted to credit institutions must bepublished by the Bank of Russia in the official Bank of RussiaBulletin at least once a year. Any change or addition to theregister is published by the Bank of Russia within one month fromthe day it was entered into the register.

Information on official registration of credit institutions, grant�ing them licences, changes in their names, location, restructur�ing and breakdowns are reported in the official weekly “Bank ofRussia Bulletin” and placed on the CBR Internet web site.

Individual Indicators Highlights

The concepts of a credit institution, bank and nonbankingcredit institutions are determined by the Federal Law “On Banksand Banking Activity” (Article 1):

Credit institution — legal entity authorized by a special CBRpermission (license) to make its profits from banking transac�tions within the framework of the above legislation. A creditinstitution may be established on the basis of any form of owner�ship as an economic agent.

Bank — credit institution having an exclusive authority forcomplex banking operations , namely: to attract deposits of legalentities and individuals1, to accommodate raised funds on itsbehalf and at its cost on terms of repayability, chargeability, andpromptness, and also to open and keep banking accounts ofindividuals and incorporated entities.

Nonbanking credit institution — credit institution autho�rized for selected banking operation, within the range specifiedby the CBR.

Registered credit institutions — credit institutions havingon a reporting date the status of legal entities, including thoseprohibited from performing banking operations but still existingas legal entities.

Credit institutions licensed for banking transactions —credit institutions registered by the Bank of Russia before July 1,

2002, or by the authorised registering body, and entitled toconduct banking operations, and also non�bank credit institu�tions registered by other bodies and granted a Bank of Russiabanking licence.

Bank of Russia’s licence is a special permission of theCentral Bank of the Russian Federation (Bank of Russia) onwhose basis a credit institution has the right to conduct bankingoperations. The banking licence spells out banking operationsthe given credit institution has the right to effect, and also thecurrency in which these banking operations can be performed.Licensing of banking activity of newly created credit institutionsand expanding the activities of credit through granting additionallicences are specified by the Bank of Russia’s regulation.

The following types of licences may be issued to the newlycreated credit institutions:— licence to conduct banking operations in rubles (without the

right to attract natural persons’ funds into deposits);— licence to conduct banking operations in rubles and foreign

currency (without the right to attract natural persons’ fundsinto deposits);

— licence to take on deposit and place precious metals. Thislicence may be granted to a bank along with a licence toconduct banking operations with funds in rubles and foreigncurrency (without the right to take household funds on de�posit).The following types of banking licences may be issued to an

operating bank for expansion of its activities:— licence to conduct banking operations in rubles and foreign

currency (without the right to attract natural persons’ fundsinto deposits);

— licence to attract funds into deposits and place preciousmetals. This licence may be issued to a bank provided that italready has the licence to conduct banking operations inrubles and foreign currency or simultaneously with it;

— licence to attract natural persons’ funds in rubles into depos�its;

— licence to attract natural persons’ funds in rubles and foreigncurrency into deposits.General licence may be issued to a bank which has licences

to conduct banking operations in rubles and foreign currency(without the right to take household funds on deposit) and to openruble and foreign�currency accounts for private individuals andcomplies with the Bank of Russia’s capital adequacy require�ments. The Bank of Russia’s regulation establishes the size of ownfunds (capital) of a bank applying for the General banking licence.The bank with the General licence has the right to establish branchesoutside the Russian Federation and (or) acquire shares in theauthorized capital of non�resident credit institutions.

The Bank of Russia’s licences to attract householdfunds — pursuant to the Federal law “On Banks and BankingActivities” (Article 36) the right to attract funds of natural personsinto deposits is granted to banks whose official registration datesback to no less than two years.

Authorized capital of credit institution is based on sharesand provides a minimal amount of assets serving as guarantee tocreditors (Article 11 of Federal Law “On Banks and BankingActivity”). The size of authorized capital is not restricted by legis�lation, but to assure a credit institution’s stability, the CBR intro�duced a minimal amount of authorized capital (the minimumamount of authorized capital for new credit institutions is estab�lished by corresponding Bank of Russia regulation).

Registered authorized capital of operating credit insti�tutions — the authorized capital paid up by members of thecredit institution and entered down in its founding documents(i.e. by the authorized registering body has made an entry in thesingle state register of legal entities on the state registration ofthe changes in the founding documents of the credit institution(an entry on the state registration of a new version of the foundingdocuments of the credit institution), containing information onthe amount of authorized capital).

Branches of operating credit institutions — separatelylocated structural units of credit institutions having a different

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location and performing on their behalf a full range or selectedbanking transactions specified by the CBR licence.

The line “Sberbank branches” records Russia’s Sberbankbranches entered into the State Register of Credit Institutionswith reference numbers attached. Before January 1, 1998, thetotal number of Savings Bank (Sberbank) branches was writtendown in the monthly Data on Credit Institutions.

Representative offices of operating credit institutions —autonomous structural units of credit institutions having a differ�ent location, acting on their behalf and protecting their interests.Representative offices are not entitled to conduct banking trans�actions.

Credit institutions with revoked licenses — credit institu�tions whose banking licenses were revoked by the CBR’s resolu�tion based on the Federal Law “On the Russian Federation Cen�tral Bank (Bank of Russia)”.

Once a resolution on revoking a license is published, a creditinstitution loses its authority to make transactions or completecontracts except for ones specified in items 3 and 4, section 4,Article 20 of the Federal Law “On Banks and Banking Activity”, anditem 2.1 of the Russian Federation Central Bank Provisions “OnBanking Licenses Revocation from Banks and Other Credit Insti�tutions in the Russian Federation” No. 264 dated April 2, 1996.

Credit institutions subject to liquidation — credit institu�tions subject to liquidation:

a) without signs of bankruptcy by the decision of:— a general meeting of stockholders or its body authorized to

do so by the founding documents (voluntary liquidation inaccordance with paragraph 2 of point 2 of Article 61 of theCivil Code of the Russian Federation);

— an arbitration court (compulsory liquidation in accordancewith paragraph 3 of point 2 of Article 61 of the Civil Code ofthe Russian Federation).b) with procedures of bankruptcy by the decision of:

— a general meeting of stockholders or its body authorized inaccordance with founding documents to pass the liquidationdecision and declare the credit institution bankrupt with itscreditors’ consent (a voluntary declaration of bankruptcy ofa credit institution and its liquidation in accordance withpoint 2 of Article 65 of the Civil Code of the Russian Federa�tion before the coming into force of Federal Law No. 40�FZ,dated February 25, 1999, “On Insolvency (Bankruptcy) ofCredit Institutions”);

— an arbitration court (which may rule a credit institution bankruptand initiate bankruptcy proceedings in accordance with point 1of Article 65 of the Civil Code of the Russian Federation, FederalLaw No. 6�FZ, dated January 6, 1998, “On Insolvency (Bank�ruptcy) and Federal Law No. 40�FZ, dated February 25, 1999,“On Insolvency (Bankruptcy) of Credit Institutions).Credit institutions in receivership with court�appointed

interim trustees (structure of a liquidating commission isagreed) — credit institutions subject to liquidation:

a) without any signs of bankruptcy, in which— the founders or a body that has taken the decision to liqui�

date the credit institution have appointed liquidation com�missions (liquidators), approved by the Bank of Russia;

— a liquidator has been appointed by the decision of an arbitra�tion court;b) with procedures of bankruptcy which the decision is

made by:— a general meeting of stockholders or its body authorised to

do so by the founding documents the liquidating commis�sions are appointed;

— an arbitration court bankruptcy proceedings (are is openbegun) and the receiver is appointed.

Table 4.1.2Number of operating credit institutions with non�residents’ participation in the authorized capital

licensed by the Bank of Russia

General Provisions

Table “Number of operating credit institutions with non�residents’ participation in the authorized capital licensed by theBank of Russia” carries information on non�residents’ participa�

tion in the authorized capital of credit institutions in the RussianFederation

Individual Indicators Highlights

Residents/Non�residents — the notions “residents” and“non�residents” used for calculating the indicators of this tableare defined in accordance with the Russian Federation Law “OnForeign Exchange Regulation and Control”, No. 173�FZ of De�cember 10, 2003.

Credit institution with non�residents’ participation inthe authorized capital is a resident credit institution whoseauthorized capital is formed with the non�residents’ participationregardless of their share in it.

When calculating indicators of the table, the banks with theGeneral licence were not included in the number of banks licensedby the Bank of Russia to conduct operations in foreign currency.

Table 4.1.3Credit Institutions Grouped byRegistered Authorized Capital

General Provisions

The “Credit Institutions Grouped by Registered AuthorizedCapital” table is complementary to the “Number and Structure ofCredit Institutions” table and presents quantitative distributionby the size of registered authorized capital (see comments on the“Number and Structure of Credit Institution” table). Authorizedcapital is broken down by intervals giving an overall picture ofRussian small, medium and large credit institutions. The quar�terly supplement to the “Bulletin of Banking Statistics” providessimilar data dissected by Russian regions.

The State Register of Credit Institutions serves as data sourcefor the said.

Along with releasing information on the breakdown of creditinstitutions by the size of their authorized capital through the“Bulletin of Banking Statistics”, it is also available weekly in the“Bank of Russia Bulletin”, and on the CBR Internet web site.

Table 4.1.4Groupings of operating credit institutions

by non�residents’ participation sharein the authorized capital

General Provisions

The Table “Groupings of operating credit institutions by non�residents’ participation share in the authorized capital” showsthe numerical distribution of credit institutions ranged by the sizeof the non�residents’ participation share in the authorized capitaland incorporated into groups.

Data source are credit institutions’ reports

Individual Indicators Highlights

See the commentary to Table 4.1.2 “Number of the operat�ing credit institutions with non�residents’ participation in theauthorized capital licensed by the Bank of Russia”.

Table 4.1.5Selected Indicators of Credit Institutions

Performance Grouped by Assets

General Provisions

The “Selected Indicators of Credit Institutions’ PerformanceGrouped by Assets” table includes groups which are shapedthrough constructing credit institutions series by descendingassets criterion with the subsequent grouping into groups ofhomogeneous�similar assets within a series. Such as groupingexemplifies cases of concentrated banking investments and bor�rowings of specific groups of banks, as well as fund�raising andinvestment operations by credit institutions with different assets.

Data are taken from the monthly aggregate balance sheet ofthe operating credit institutions (with all branches). Assets andliabilities items included in the “Credit Institutions Performance”subsection of the Bulletin are broken down by their initial market

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value at time of purchase. Assets and liabilities in foreign cur�rency, precious metals and securities include revaluation resultsexcept for bills which are not subject to revaluation.

Individual Indicators Highlights

Number of branches throughout the RF territory —branches of credit institutions recorded in the State Register (onthe State Register see comments on the table “Number andStructure of Credit Institutions”).

Credits extended — debt (including overdue) of legal enti�ties and individuals to credit institutions on all loans includingloans to all�level government authorities, foreign countries,extrabudgetary funds, nonresidents in domestic and foreigncurrency and in precious metals. The indicator does not incorpo�rate budget financing of some government program on a repay�ment basis, other funds placed, bank deposits and financialleasing. Funds provided by credit institutions on REPO terms arealso excluded; they are shown as investments in securities.

Corporate loans — debt (including overdue) of nonfinan�cial and financial resident institutions (excluding credit ones) tocredit institutions on all domestic and foreign currency loans andprecious metals loans. The indicator does not incorporate netloans extended to the Russian Finance Ministry, financial au�thorities of the Russian Federation constituent entities and localgovernment bodies, state extrabudgetary funds, extrabudgetaryfunds of the Russian Federation and local government bodies

Personal loans — debt (including overdue) of resident andnonresident individuals and self�employed individuals on con�sumer loans in domestic and foreign currency.

Bank credits — debt (including overdue) on interbank cred�its, of which credits extended to nonresident banks. Depositsand other funds placed with banks are excluded.

Outstanding debt on credits extended to enterprises andentities/banks/individuals; — corporations; — individuals in�cluding outstanding debt on credits, deposits and other place�ments given to residents and nonresidents legal entities and indi�viduals, to a foreign country and also on operations with preciousmetals. Outstanding debt does not include overdue interest.

Investment in government securities — credit institutions’investment in Russian government bonds.

Investment in bills — amount of discounted bills in thecredit institutions’ portfolio.

Investments in shares and equity interest by residentcorporations (except for banks) — includes credit institu�tions’ investments in shares made with the aim of obtaining acontrolling interest in the activity of subsidiary and affiliate joint�stock companies and other interest in the authorized capital ofresident enterprises and organisations and investment in (listedand unlisted) shares of enterprises and organisations made withthe purpose of receiving income on investment (for credit insti�tutions’ investment in securities see Note to Table “Structure ofCredit Institutions’ Investments in Securities”).

Corporate funds with banks — balances on enterprises’and agencies’ accounts in domestic and foreign currency andprecious metals. (Account balances on self�employed individu�als’ accounts are not included). Also excluded are deposits andmeans which have been written off from accounts of clients.

Budgetary funds with banks — funds of all�level budgetsand government extrabudgetary funds.

Personal deposits — demand and term personal depositsand other funds raised by residents and nonresidents, domestic/foreign currency accounts of self�employed individuals, unpaidtransfers from abroad and also nonfulfilled engagements ondemand and term personal deposits and other funds raised byresidents and nonresidents. Accrued interest on deposits is keptin different accounts excluded when calculating this indicator.

Negotiable debt — nominal value of banks’ securities:bonds, deposit and savings certificates, bills and acceptances.

Own funds (capital) is the free of obligations property ofcredit institutions. Up to January 1, 2002, this indicator is calcu�lated in accordance with Bank of Russia Provision No. 31�P,dated June 1, 1998, from January 1, 2002, — in accordance withBank of Russia Provision No. 159�P, dated November 6, 2001,and from March 1, 2003, — in accordance with Bank of RussiaProvision No. 215�P, dated February 10, 2003, On the Method�ology of Calculation of Credit Institutions’ Own Funds (Capital).

The source of data is the reports of Russian credit institutionsas per form No. 134 “Calculation of Own Funds (Capital)”.

Total assets — value of credit institutions’ assets (balanceson accounts reflecting credit institutions’ settlements are in�cluded in total assets).

More descriptive data on selected indicators with dissectionby domestic and foreign currency are given in the following tables:“Deposits”, “Deposit and Savings Certificates and Bonds”, “FundsOwned by Legal Entities and Individuals and Raised Through Bills”,“Structure of Credit Institutions’ Investments in Securities”, “Dis�counted Bills”. This information can be complemented by monthlybalance sheets of selected credit institutions which are includedon the CBR Internet Web site (see the CBR web site for “CreditInstitutions” within the “Banking System” section).

Table 4.1.6Financial Performance of Credit Institutions

General Provisions

Table “Financial Performance of Credit Institutions” con�tains data characterising the financial performance of creditinstitutions.

The source of information is data from the reports compiledby credit institutions in accordance with Form 101 “Statement ofAccounts of Credit Institutions.”

Individual Indicators Highlights

Total volume of profit (+)/losses (—) of operating creditinstitutions is arrived at by summing the derived income minusthe expenses over the accounting period, previous years’ re�tained profit (loss) of operating credit institutions. Profit (loss) isarrived at on an accrual basis.

Volume of profit of credit institutions showing profit isarrived at by summing the derived income minus the expensesover the accounting period, previous years’ retained profit (loss)of credit institutions which obtained profit or had a zero financialresult over the accounting period. Profit is arrived at on anaccrual basis.

Share of credit institutions showing profit is the share ofcredit institutions showing profit or zero financial result taking intoaccount the previous years’ results in the total number of operat�ing credit institutions registered in the Russian Federation.

Volume of losses of credit institutions showing losses isarrived at by summing the derived income minus the expensesover the accounting period, previous years’ retained profit (loss)of credit institutions that had losses over the accounting period.The loss is arrived at on an accrual basis.

Share of credit institutions which posted losses is theshare of credit institutions taking into account the previous years’results in the total number of operating credit institutions regis�tered in the Russian Federation.

Profit application — use of profit of the current and preced�ing financial years for settlement of the tax and other obligatorypayments with the budget; transfer of funds made under thedecision of general meeting of shareholders (participants) or inaccordance with the founding documents of the credit organiza�tion to the reserve fund, special fund, accumulation and otherfunds; payments of dividends, cover of losses of the last yearsand other operations established by the legislation of the Rus�sian Federation.

Table 4.1.7Financial Performance of Credit Institutions

(from the beginning of the year net of profit/lossesof previous years)

General Provisions

The Table “Financial Performance of Credit Institutions(from the beginning of the year net of profits/losses of previousyears)” contains indicators characterizing the financial resultsof activities of credit institutions in the period since the begin�ning of the current year. Financial results of the activities ofcredit institutions in the years preceding the current year arenot taken into account.

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Information for this Table is derived from data reported byoperating credit institutions in accordance with Form No. 101“The Account Book of a Credit Institution”.

Individual Indicators Highlights

A total amount of profits (+)/losses(—) made by operat�ing credit institutions is calculated by summing the incomesreceived net of the expenses made by operating credit institu�tions in the period under review and the current�year retainedprofit (loss) of operating credit institutions. Profit (loss) is calcu�lated on an accrual basis.

The amount of profits made by profit�making creditinstitutions is calculated by summing up the incomes receivednet of the expenses made in the period under review and thecurrent�year profit (loss) made by credit institutions with profit orzero financial result for the current year. Profit is calculated on anaccrual basis.

The share of profit�making credit institutions is the shareof credit institutions that have made profit or posted a zero resultfrom its activities in the period from the start of the year underreview in the total number of operating credit institutions regis�tered in Russia.

The amount of losses incurred by loss�making creditinstitutions is calculated by summing the incomes receivednet of the expenses made in the period under review and thecurrent�year retained profit (loss) of the loss�making creditinstitutions in the period under review. Loss is calculated on anaccrual basis.

The share of loss�making credit institutions is the shareof credit institutions that have incurred losses in the period fromthe beginning of the year under review in the total number ofoperating credit institutions registered in Russia.

Profit used signifies the use by operating credit institutionsof their current�year profits on tax payments, duties and manda�tory payments to the budget; allocations made by the decision ofthe shareholders’ (members’) general meeting or in accordancewith the credit institution’s founding documents to the reservefund, special funds, accumulation fund and other funds, divi�dend payments to shareholders (members), cover of previousyears’ losses and other operations stipulated by the legislation ofthe Russian Federation.

Subsection 4.2Borrowings

Table 4.2.1Deposits

General Provisions

The table presents data on one of the major transactions inliabilities, namely, borrowings by credit institutions — drawings ofdomestic and foreign currency from legal entities and individuals tobank deposits. Data are grouped by borrowing periods specifiedaccording to the deposit and other raised fund contract termsincluding all complementary agreements. The table shows totalfunds raised by credit institutions in deposits. The data compilationmethodology for the information in this table differs from that usedfor similar data in the “Analytical Accounts of Credit Institutions”table included in the analysis of money supply and its structure. Datain Table 4.2.1 is presented in a view to highlight these differences inthe methodology. The “Deposits” table does not cover deposits oflegal entities and individuals with the Vnesheconombank which arenot within the scope of credit institutions, but includes the RFnonresident funds. It also does not cover accrued interest. Discrep�ancies among individual indicators can be found below.

The data are drawn from the monthly aggregate balancesheets of Russian operating credit institutions.

Individual Indicators Highlights

Total ruble/foreign currency deposits by maturity — money(cash and noncash rubles and foreign currency) deposited by theowners (residents and nonresidents) in banks under determinedconditions. Data in the table are presented by type of depositor(individuals and legal entities — corporations and agencies), termsand withdrawal procedures (demand and time deposits).

Demand deposits — funds of residents and nonresidentskept with a bank for an undetermined period which can not befixed at the time the funds are credited to an account, and can becompletely or partially withdrawn at any time. Including depositswith use of banking cards.

Time deposits — money deposits with a precisely deter�mined term of repayment and interest rate.

Personal deposits (from April 1, 2001 — Personal depositsand other raised found) — demand deposits (including amountsdeposited for debit and credit cards settlements, from April 1,2001, also including non fulfilled engagements on deposits andother raised founds) and time deposits by resident and nonresi�dent individuals, and funds on self�employed individuals’ ac�counts and unpaid transfers from abroad.

Corporate deposits — demand deposits (including depositsintended for debit and credit card settlements, from April 1, 2001,also including non fulfilled engagements on deposits and otherraised founds) and time deposits of all�level budgets, extrabudgetaryfunds, financial institutions (except for credit ones), nonfinancialinstitutions of all types of property, and also nonresident legalentities. (The table “Analytical Accounts of Credit Institutions” showscorporate deposit funds as included in different aggregates (seecolumns 9, 10, 15 in the table) which apart from deposited moneyinclude amounts in settlements and current accounts of residentlegal entities, and precious metals accounts.)

Bank deposits include deposits and other money attractedfrom resident credit institutions and nonresident banks.

Table 4.2.2Average Weighted Interest Rates on NonfinancialOrganizations’ and Personal Deposits in Rubles

Table 4.2.3Average Weighted Interest Rates on Nonfinancial

Organizations’ and Personal Deposits in US DollarsTable 4.2.4

Average Weighted Interest Rateson Interbank Deposits in Rubles and in US Dollars

General Provisions

The table displays weighted deposit interest rates in Russianrubles and US dollars offered by credit institutions. The data aredissected by type of depositor (individuals and nonfinancial or�ganizations in the tables 4.2.2 and 4.2.3, credit institutions in thetable 4.2.4) and maturity within the reporting period.

Data source: monthly financial reporting of operating creditinstitutions (see Bank of Russia Ordinance No. 1376�U, datedJanuary 16, 2004, “About the list, forms, the order of drawing upand submission of the reporting of credit institutions in the Cen�tral Bank of the Russian Federation”).

Along with the CBR monthly “Bulletin of Banking Statistics”,data on average weighted rates on personal short�term depositsin the domestic currency are published in the IMF “InternationalFinancial Statistics”.

Individual Indicators Highlights

Interest rates on personal deposits by term, interestrates on nonfinancial organizations’ deposits by term andinterest rates on credit institutions’ deposits by term areaverage weighted annualized interest rates on personal, nonfi�nancial organizations and credit institutions’ deposits attractedby operating credit institutions during the month under review forall terms are broken down into deposits with the following terms:up to 30 days (including demand deposits), from 31 to 90 days,from 91 to 180 days, from 181 days to 1 year and longer than1 year. Interest rates on personal deposits with all terms, exceptdemand deposits, and interest rates on deposits with terms up to30 days, except demand deposits, are also published.

Average weighted deposit rates for a certain period aredefined as follows:

whereV

PVP ,=–

— average deposit rate;P — nominal annual deposit rate;P–

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V — value of a deposit.

Table 4.2.5Deposit and Savings Certificates and Bonds

General Provisions

The “Deposit and Savings Certificates and Bonds” tablecontains data on Russian and foreign currency funds raised bycredit institutions by issue of securities (deposit and savingscertificates and bonds). Values of the deposit and savings certifi�cates and bonds are given in nominal value with the maturitybreakdown. Absence of data on specific periods of borrowingmeans absence of such borrowings over the described periods.

The data are obtained from the monthly aggregate balancesheet of the Russian operating credit institutions.

Individual Indicators Highlights

Savings (deposit) certificate — a time deposit variety (seecomments on indicator “Time deposits” in the “Deposits” table),which is a security proving the sum of deposit in a bank, and alsoa right of the depositor (certificate holder) to receive from thebank�issuer or in its branches after a maturity period of thedeposited funds and due interest payment specified in the cer�tificate. The certificates are issued in Russian rubles. Savingscertificates can be held only by individuals, deposit certificatesonly by legal entities. For more detailed information on the sav�ings (deposit) certificates, see Provisions “ On Savings andDeposit Certificates” No. 333�U dated August 31, 1998.

Bond — a financial security proving the holder’s right forreceiving, in due time, the nominal value of the bond or any othertangible equivalent. Bonds also provide fixed interest paymentsor any other tangible equivalent.

Table 4.2.6Average Weighted Interest Rates on Deposit

and Savings Certificates and Bonds

General Provisions

The table features average weighted interest rates on de�posit and savings certificates and bonds issued in Russian rubles.Data are categorized by maturity of deposit/savings certificatesand bonds placed on the primary market.Data source: monthlyfinancial reporting of the operating credit institutions (for themain compilation guidelines see the CBR Instruction “On Finan�cial Reporting Compilation “ No. 17 dated October 1, 1997).

Individual Indicators Highlights

Deposit certificate interest rates by maturity; savingscertificate interest rates by maturity; interest rates onbonds, by maturity — average annual interest on funds raisedthrough the certificates and bonds within the reporting periodbroken down by maturity: under 30 days, 31—90 days, 91—180 days, 181 days — 1 year, 1—3 years, over 3 years. The lackof interest rates data over the selected deposit periods indicatesunavailability of a particular type of certificate and bond issued byreporting institutions.

Average weighted interest on deposit/savings certificatesand bonds is defined as follows:

whereV

PVP ,=–

— average weighted interest rates on deposit/savings certifi�cates and bonds;P — annual yield on a matured security;V — book value of a security.

Table 4.2.7Funds Owned by Legal Entities and Individuals

and Raised Through Bills

General Provisions

The “Funds Owned by Legal Entities and Individuals RaisedThrough Bills” table contains credit institutions’ liabilities onissued bills and banker’s acceptances.

The data are obtained from monthly aggregate balance sheetof the operating credit institutions.

Individual Indicators Highlights

Bill — direct financial liability completed in a legally pre�scribed form and issued by a promissor to a billholder whichgives the latter unconditional authority to make claims to thepromissor in terms of specific amount, time and place.

Banking bill of exchange — bill which is mainly earmarkedto attract funds to a bank.

Acceptance — an agreement on repayment of a bill impos�ing obligation on the acceptor.

Banker’s acceptance — bill secured by the bank’s uncon�ditional obligation to pay a specific amount after a certain period(accepted by the bank).

Total rubles/foreign currency raised by bills, by redemp�tion periods — Russian ruble/foreign currency (in a rouble equi�valent) attracted to the credit institutions by issuing at par billsand discounting bank acceptances.

Total Russian/foreign currency receipts raised by bills andbanker’s acceptances are broken down by redemption periods.Bills at a particular date sight, and bills at fixed time sight (termbills) are discounted by actual residual period. Demand andfixed�time demand bills are included in the demand position, andbills presented for payment are discounted similarly to term bills(Accounting Rules for Credit Institutions Based in the RussianFederation, dated December 5, 2002, No. 205�P).

Table 4.2.8Average Weighted Interest Rates on Bills

General Provisions

The table contains average weighted interest rates on billsissued by credit institutions.

Interest rates on ruble denominated bills placed on the pri�mary market over the report period are given by type of primaryholder (legal entities and individuals) and redemption periods.

Data are drawn from monthly financial reporting of operatingcredit institutions (for the main compilation guidelines and indi�cators see the CBR Instruction “On Financial Reporting Compi�lation” No. 17 dated October 1, 1997).

Individual Indicators Highlights

Interest rates on ruble denominated bills sold to legalentities, by maturity; interest rates on ruble denominatedbills sold to individuals, by maturity — average annual interestrates on ruble denominated bills sold to legal entities/individualswith dissection by periods of redemption periods: under 30 days,31—90 days, 91—180 days, 181 days — 1 year, 1—3 years, over3 years.

Average weighted interest rates on issued bills are definedas follows:

whereV

PVP ,=–

— average weighted interest rate on issued bills;P — bill’s annual yield against redemption;V — value of a bill specified in the requisites.

Subsection 4.3Lending

Table 4.3.1Corporate, Interbank and Personal Loans

General Provisions

Data in the table reflect one of the major banking activitiesin placing banking resources to be lent to clients (residents andnonresidents). Loans are broken down by currency (Russianand foreign), borrowers (individuals, corporations, banks) andmaturity periods (maturity period is a term for repaying a loanspecified in a credit agreement). The ruble and foreign cur�rency loans are lower than that in the “Selected Indicators byCredit Institutions Performance Grouped by Assets” table be�

P–

P–

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cause of loans extended to all�level budgets, governmentextrabudgetary funds.

Data are provided by the monthly aggregate balance sheetof Russian operating credit institutions.

Individual Indicators Highlights

Total loans in rubles/foreign currency — clients’ debt(including overdue loans and other allocated funds) to creditinstitutions on all loans extended. Lent funds totals, apart fromthe breakdown of specific loans, loans to foreign governmentsand nonresident legal entities.

Total personal loans in rubles/foreign currency — resi�dent and nonresident personal clients’ debt on consumer loans(including overdue), encompass self�employed individuals.

Total corporate loans in rubles/foreign currency, bymaturity — debt (including overdue) on all loans (including pre�cious metal loans) contracted to resident financial (except forcredit ones) and nonfinancial institutions of all types of property(for “financial institution” and “nonfinancial institution” conceptssee notes to “Analytical Accounts of Credit Institutions” table,and comments on “claims on nonfinancial public enterprises”included in the “Analytical Accounts of Monetary Authorities”table). Loans given for the term of up to 30 days include demandloans and “overdraft” (loan as giving credit for money stringencyon current account).

Total loans to banks in rubles/foreign currency — debt(including overdue) on interbank loans. Without deposits andother placed means in banks.

Table 4.3.2Average Weighted Interest Rates

on Nonfinancial Organizations’ and Personal Loansin Rubles

Table 4.3.3Average Weighted Interest Rates

on Nonfinancial Organizations’ and Personal Loansin US DollarsTable 4.3.4

Average Weighted Interest Rateson Interbank Loans in Rubles and in US Dollars

General Provisions

The tables contain average weighted rates on ruble and USdollar loans to nonfinancial organizations, credit institutions andindividuals. Data are presented by type of borrower (individualsand nonfinancial organizations in table 4.3.2 and 4.3.3, creditinstitutions in table 4.3.4) and credit terms.

Data source: monthly financial reporting by Russian creditinstitutions (see Bank of Russia Ordinance No. 1376�U, datedJanuary 16, 2004, “About the list, forms, the order of drawing upand submission of the reporting of credit institutions in the Cen�tral Bank of the Russian Federation”).

Along with the CBR monthly “Bulletin of Banking Statistics”data on average weighted rates on short term corporate loans inrubles are published in the IMF “International Financial Statistics”.

Individual Indicators Highlights

Average weighted interest rates on personal loans/Av�erage weighted interest rates on nonfinancial organiza�tions loans/Average weighted interest rates on inter�bank loans in rubles/US dollars, by maturity — annualaverage weighted rates specified in loan agreements withindividuals, nonfinancial organizations and credit institutions.The rates are classified by the loan terms: under 30 days,31—90 days, 91—180 days, 181 days — 1 year, 1—3 years,over 3 years.

Average weighted interest rates for corresponding loan pe�riods are defined as follows:

whereV

PVP ,=–

— average weighted loan interest rate;P — contracted nominal annual interest rate;V — contracted value of loan.

Table 4.3.5Structure of Credit Institutions’ Investments

in Securities

General Provisions

Data are dissected by types of securities and groups of issu�ers. REPO transactions being a relatively new source of high liquidbanking resources, they are singled out of total investment (forREPO contracts see footnote on “Analytical Accounts of MonetaryAuthorities” table). The highlighted shares of stock singled out ofthe overall investments into shares of stock represent those whichare kept in the credit institutions’ portfolio over six month andpurchased solely for investment purposes.

Investments in government securities are included at theirmarket value, and in other securities — by purchase value (bookvalue).

Data source: monthly aggregate balance sheet of Russianoperating credit institutions.

Analysis of data in the table can be complemented by infor�mation on the structure of investment in securities of individualcredit institutions — holders releasing their data to the Internetunder the CBR Provisions “On Data Release by the Bank ofRussia and Credit Institutions — Financial Markets Agents”No. 43�P dated July 8, 1998.

Individual Indicators Highlights

Securities include bonds (government, municipal, commer�cial), deposit and savings certificates, and other documentsrelated to securities pursuant to effective law.

Investment in debt instruments — include credit institu�tions’ funds allocated for purchase of government securities,bonds, and deposit and savings certificates of various legalentities.

Financial securities in an investment portfolio can differ byissuers:

government debt instruments — all Russian governmentbonds (GKO, OFZ, etc.) including bonds denominated in foreigncurrency;

debt instruments of the Russian Federation memberterritories and local authorities — debt instruments (bondsand other) issued by Russian Federation member territories(including debt instruments in foreign currency) and local au�thorities (debt instruments in rubles);

resident credit institutions’ debt instruments — bonds,deposit certificates and other securities issued by resident creditinstitutions;

nonresident issuers’ debt instruments — bonds issuedby foreign governments, nonresident banks, and nonresidentsissuer’s other securities;

other debt instruments — bonds, savings and depositcertificates issued by other legal entities (different from theabove).

Debt obligations under reverse repurchase agree�ments — listed and unlisted debt instruments acquired underagreements providing for their reverse repurchase within 180 cal�endar days (regardless of the issuer).

Debt obligations under loan agreements — listed andunlisted debt instruments acquired under loan agreements (re�gardless of the term of the agreement and issuer).

Overdue debt obligations — debt obligations that have notbeen repaid in due time.

Investment in shares is defined by:— resident credit institutions’ shares;— nonresidents’ shares, including shares issued by nonresi�

dent banks;— other shares (different from the above).

The indicator Investments in Shares has been supple�mented by indicators Under Reverse Repurchase Agreementsand Under Loan Agreements (see note to indicators “DebtObligations under Reverse Repurchase Agreements” and “DebtObligations under Loan Agreements”).

Investments in shares of corresponding issuers ac�quired for investment purposes — listed and unlisted sharesacquired with the purpose of obtaining investment income and inanticipation of growth in their value in the long term or after anindefinite period of time.

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Participation in subsidiary and affiliated joint�stockcompanies signifies investment in shares acquired in the num�ber allowing the investor to gain control over the management ofthe issuing organization or exert significant influence on it.

Other participation signifies the funds paid by banks intothe authorized capital of resident and non�resident legal entitiesand also funds transferred to non�resident banks when openingbranches abroad.

Table 4.3.6Discounted Bills

General Provisions

The table includes data on the value of discounted bills incredit institutions (including overdue bills).

Data are obtained from monthly aggregate balance sheetsof Russian operating credit institutions.

Individual Indicators Highlights

Total discounted bills denominated in rubles — value ofbills denominated in rubles/foreign currency and acquired priorto their maturity (including overdue bills).

Total of discounted ruble/foreign currency bills are brokendown by promissors:— bills issued and guaranteed by federal government;— bills issued and guaranteed by RF member territories and

local authorities;— сredit institutions’ bills;— nonresidents’ bills;— other bills.

Table 4.3.7Average Weighted Interest Rates

on Discounted Bills

General Provisions

The table contains average weighted rates on discountedbills and loans secured by credit bills.

Average weighted rates on discounted bills and loans againstcredit bills (ruble and foreign currency) are shown by maturity.

Data source: monthly financial reporting of operating creditinstitutions (for compilation guidelines see the CBR Instruction

“On Financial Reporting Compilation” No. 17 dated October 1,1997).

Individual Indicators Highlights

Interest rates on ruble/US dollar credit bills — interestrates on credit bills�secured loans.

Interest rates on discounted bills denominated in rublesand US dollars, by maturity — interest rates on acquired (dis�counted) bills.

Average weighted rates on discounted bills or credit bills�secured loans are defined as follows:

whereV

PVP ,=–

— average weighted interest rate on bills or credit bills�se�cured loans;P — discount rate defined by the formula for annual yield againstmaturity, or nominal interest credit rate;V — book value (purchase price) of a discounted bill or value ofcredit bills�secured loan.

Table 4.4Credit Institutions’ Claims and Liabilities

on Financial Derivatives

General Provisions

The table presents credit institutions’ liabilities and claims onfinancial derivatives. Financial forward settlement contracts, op�tions, forward parts of the deals on reverse repurchase of secu�rities, which fall due not earlier than on the third day after com�pleting the contract. Futures transactions are shown in the off�balance sheet item from the contract date till the value date.Futures claims on and liabilities to financial instruments withmarket or official prices (rates) are recorded at these prices anddiscounted in due order.

Credit institutions’ liabilities and claims on financial derivativesare broken down by major financial instruments (rubles and foreigncurrency, precious metals, securities) and by term of settlement:2—30 days, 31—90 days, over 90 days. Total of claims and liabili�ties across all financial instruments presented in the table alsoinclude amounts due for repayment “on the following day”.

Data are obtained from monthly aggregate balance sheets(Subsection D “Transactions in Derivatives”) of Russian operat�ing credit institutions.

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Section 5. Selected Indicators Characterising the State of Russia’sPayment System

Table 5.1Payments Effected by the Russian

Payment System

General Provisions

The Table presents data on the number and value of non�cash payments effected by the Russian payment system, includ�ing payments effected by the Bank of Russia payment systemand private payment systems formed by credit institutions.

The source of these data is quarterly payment reports ofcredit institutions and Bank of Russia regional branches.

Individual Indicators Highlights

Payments effected by the Bank of Russia payment sys�tem include payments effected by credit institutions and theirbranches and their clients, payments effected by Bank of Russiaclients other than credit institutions and Bank of Russia pay�ments per se, made to payees through Bank of Russia institu�tions.

Payments effected by private payment systems includepayments effected by clients of credit institutions and theirbranches and payments effected by credit institutions and theirbranches, routed by settlement non�bank credit institutionsthrough their payment systems and by credit institutions andtheir branches through correspondent accounts, opened in othercredit institutions and their branches, and through interaffiliatesettlement accounts, opened in subdivisions of a credit institu�tion, and also payments within a subdivision of a credit institution(parent credit institution or its branch).

Table 5.2Payments Effected by Bank of Russia

Payment System and Private Payment Systemsby Method of Payment

General Provisions

The Table presents data on the number and value of non�cash payments effected by the Bank of Russian payment systemand private payment systems electronically and on paper.

Individual Indicators Highlights

Electronic payments are payments effected in the Bank ofRussia payment system and private payment systems withoutusing paper settlement documents, while funds are credited topayees’ accounts on the basis of electronic payment docu�ments. Other payments are considered payments effected onpaper.

Table 5.3Data on Customers Members of Bank of Russia

Payment System ExchangingElectronic Documents with Bank of Russia

General Provisions

The Table presents data on the number and makeup of Bankof Russia clients using the electronic exchange of settlementdocuments in effecting non�cash settlements through the Bankof Russia payment system. These data are grouped for creditinstitutions and their branches, the Federal Treasury bodies andother Bank of Russia clients.

The sources of information are the Bank Identification Code(BIC) Directory of the Russian Federation and other statisticaldata collected by the Bank of Russia.

Individual Indicators Highlights

The total number of operating credit institutions andtheir branches participating in the Bank of Russia paymentsystem are the operating credit institutions and their branchesaccording to the BIC Directory.

The total number of the Federal Treasury bodies are thedivisions and departments of the Russian Finance Ministry’sFederal Treasury that are clients of the Bank of Russia.

The total number of other Bank of Russia clients areBank of Russia clients other than credit institutions or theirbranches and Federal Treasury bodies.

Of which participate in exchange signifies operatingcredit institutions and their branches, Federal Treasury bodiesand other Bank of Russia clients that have concluded an agree�ment with the Bank of Russia on the exchange of electronicdocuments in effecting settlements through the Bank of Russiapayment system.

Table 5.4No. of Participants (Users) in Bank of Russia

Intraregional and InterregionalElectronic Settlements

General Provisions

The Table presents data on the number of participants in andusers of Bank of Russia intraregional and interregional electronicsettlements.

Bank of Russia interregional electronic settlements signifythe entirety of relations between Bank of Russia institutions,credit institutions and their branches and other Bank of Russiaclients other than credit institutions, located in various Russianregions, and pertain to the effectuation of payments using elec�tronic payment and internal information documents. Intraregionalelectronic settlements are the entirety of the aforementionedrelations within a single region.

The source of this information is the BIC Directory.

Individual Indicators Highlights

Bank of Russia institutions are the main cash settlementcentres, cash settlement centres and operations divisions anddepartments of the Bank of Russia included in the BIC Directory.

Participants in intraregional and interregional electronicsettlements are the Bank of Russia institutions that have thecorresponding software and hardware and meet the require�ments of the Bank of Russia instructions regulating the proce�dure for implementing intraregional and interregional electronicsettlements.

Credit institutions (branches of credit institutions) areoperating credit institutions (branches of credit institutions) ac�cording to the BIC Directory.

Users of intraregional and interregional electronicsettlements are credit institutions (branches of credit institu�tions) that have correspondent accounts (subaccounts) in Bankof Russia institutions participating in intraregional and interre�gional electronic settlements.

Table 5.5Value of Backlogs of Settlement Documents

Unpaid Owing to Lack of Fundsin Correspondent Accounts (Subaccounts)of Operating Credit Institutions (Branches)

General Provisions

The Table contains data on the value of backlogs of paymentdocuments that have not been paid on time by operating creditinstitutions or their branches due to the lack of funds in theircorrespondent accounts and subaccounts and on the number ofoperating credit institutions whose branches have such backlogs.

The sources of this information for this Table are 10�dayreports on the backlogs of settlement documents unpaid bycredit institutions or their branches due to the lack of funds intheir correspondent accounts (subaccounts), monthly consoli�dated balance sheet of Russian credit institutions and the BICDirectory.

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Individual Indicators Highlights

Operating credit institutions participating in the Bank ofRussia payment system signify the number of operating creditinstitutions according to the BIC Directory.

Operating credit institutions whose branches have back�logs of unpaid documents denote the number of operatingcredit institutions whose main divisions or branches have back�logs of settlement documents that have not been paid on timedue to the lack of funds in their correspondent accounts(subaccounts).

The total value of backlogs of settlement documentssignifies the total value of settlement documents of operatingcredit institutions or their branches that have not been paid ontime due to the lack of funds in their correspondent accounts(subaccounts) and are kept on file in the Bank of Russia and incredit institutions or their branches.

Unpaid settlement documents kept on file in the Bank ofRussia are the settlement documents unpaid due to the lack offunds in the correspondent accounts (subaccounts) of operat�ing credit institutions or their branches and kept on file by theBank of Russia as settlement documents that have not been paidon time. Funds are written down from them on the basis ofexecution documents ordering the transfer or payment of moneyfrom accounts to meet claims for compensation of damage to lifeand health and claims for alimony; the payment of severancewage and wage to persons working under labour agreements,including contracts; the payment of royalties under authorshipagreements; settlement documents on the transfer or paymentof wages and salaries to persons working under labour agree�ments (contracts) and deductions to the Pension Fund of theRussian Federation, Social Insurance Fund of the Russian Fed�eration, the State Employment Fund of the Russian Federationand compulsory medical insurance funds, payments to the bud�get and extra�budgetary funds, and settlement documents onexecution documents providing for the satisfaction of other pe�cuniary claims.

Unpaid settlement documents kept on file in credit in�stitutions (branches) are the settlement documents unpaid

due to the lack of funds in the correspondent accounts(subaccounts) of operating credit institutions or their brancheson other payments that may not be kept on file in the Bank ofRussia and are kept on file in the credit institutions or theirbranches.

Unpaid settlement documents included by credit insti�tutions and their branches in the loro correspondent ac�count are the settlement documents unpaid due to the lack offunds in the correspondent accounts of operating credit institu�tions or their branches opened in other credit institutions or theirbranches for indisputable (nonacceptance) writing down of fundsfrom these accounts and included in the backlogs of unpaiddocuments attached to these accounts.

Table 5.6Selected Indicators Characterising Transactions

Implemented Using Bank Cards

General Provisions

This Table shows the dynamics of cash withdrawals andpayments for goods (works or services) using bank cards insideand outside Russia by private individuals and legal entities.

Data for this Table are derived from the quarterly statisticalreports submitted by credit institutions to the Bank of Russia.

Individual Indicators Highlights

Bank card is a payment card issued by a credit institution.The number of bank cards denotes the actual number of

bank cards issued by credit institutions to their customers.Payments for goods (works, services) include operations

on payment for goods (works, services) made with banking cardsin and outside the Russian Federation and operations on cus�toms payments made in the Russian Federation with bankingcards.

Data on the number of bank cards are given as of the first dayof the month following the accounting quarter.

Data on the value of operations conducted with the use ofbank cards are given for the accounting quarter.