Foreigners increase investments in Russian bonds by 40bn RUR

Within a month, foreign citizens increased their investments in Russian bonds by 1.8% (or by 40bn RUR). As a result, share of the bonds in the market grew in January from 33.1% to 33.9%, says the data of the Russian Central Bank.

The market of the federal loan bonds decreased in January by 0.7% (by 47bn RUR). Share of foreign investors in the federal loan bonds in terms of money totaled 2.27tn RUR with the general volume of the market 6.69tn RUR.

In February, Russian Finance Minister Anton Siluanov said that the demand for sovereign bonds was decreasing. “The finance ministry intends to impose more interesting corrections in the current mechanism of issuing the bonds for the people and in particular to level down minimal cost of such bonds,” the minister informed.

Nevertheless, at the investment forum in Sochi, Prime Minister Dmitry Medvedev proposed to issue more bonds more than thrice, up to 100bn RUR. He cited as an argument statistics saying that federal loan bonds when issued for 30bn were sold out like hot cakes.