Page 96 - RusRPTNov23

BONDS: The portfolio of debt securities moderately decreased by 1.5%, equivalent to 309 billion rubles. This decline was primarily attributed to the redemption of sovereign eurobonds denominated in foreign currency (3 billion USD, or 290 billion rubles in the equivalent) and the negative revaluation of securities due to rising interest rates (around 100 billion rubles). Notably, this revaluation is mainly reflected in capital (through other comprehensive income, see page 13).
In September, the issuance activity of the Russian Ministry of Finance was relatively low, with OFZ bonds placed at around 84 billion rubles (compared to approximately 230 billion rubles in August). Approximately 80% of the issuances were comprised of floating rate bonds acquired by the Central Bank. Additionally, about 60 billion rubles' worth of OFZ bonds were sold in the secondary market by the Central Bank.
GOVERNMENT: In September, the volume of government funds experienced a moderate decrease of 315bn rubles, representing a 2.6% reduction. Among the primary reasons for this decline was the fulfillment of obligations by the Ministry of Finance of Russia in repurchasing sovereign eurobond issues, amounting to approximately 290bn rubles (equivalent to 3bn $).
Additionally, it should be noted that the Federal Treasury did not fully return tax payments to banks, contributing to the reduction in government funds.
Furthermore, loans from the Central Bank of Russia also witnessed a moderate decline, amounting to 295bn rubles (a 6.5% decrease), primarily due to the repayment of loans secured by non-market assets.
96 RUSSIA Country Report November 2023 www.intellinews.com