Chinese banks have begun to withdraw money from Russia

According to the Russian Central Bank, in December 2015, «daughter» of the leading credit organizations of China «Bank of China», «China construction Bank» and «Chineselegolas» — began to withdraw assets from Russia. The largest outflow was seen in «the Bank of China,» specializes in export-import relations between Russia and China (on 100% belongs to one of the largest banks in China, Bank of China, controlled by the Chinese government).

On 4 February 2016, according to «Izvestia».

In December the assets of «Bank of China» dropped 31% from 55.9 billion to 38.6 billion, in November-December — at 45.3 per cent. As a result, the Bank has moved from 89 th to 124th place in the ranking of banks operating in the Russian Federation.

The assets of «China construction Bank» («daughter» of the state China Construction Bank) for December declined by 17.3% to 20.3 billion rubles. «China construction Bank» (178-th place by assets) has been operating in Russia since 2013. The main beneficiary Bank — Ministry of Finance people’s Republic of China (57,14%).

«Chinasingapore» (subsidiary of Agricultural Bank of China — Agricultural Bank of China), opened in Russia in 2014, assets decreased by 1.7% to 4.1 billion rubles. The Bank has lost five positions and moved to 398-th place by assets in the rating of Russian banks.

The Director of the methodical Department of the «National rating Agency» Maxim Vasin agree that the reduction of assets of subsidiaries of Chinese banks in Russia is quite noticeable. In his view, this phenomenon is called «reducing the cost of oil and the rise of the exchange rate against the ruble».

«…We note a reduction in assets of Chinese banks operating in Russia, which is caused by their natural desire to limit yourself from exposure to Russian political and economic risks», says banking expert Armen Danielyan.

The chief of analytical management of Bank «BKF» Maxim Osadchy said that the «pivot to the East» for the Kremlin in economic terms «over».

«Russian companies and banks were not able to replace Western loans in China and other Eastern countries. Chinese banks and banks of other Eastern countries are not rushed headlong into Russia. And those Chinese banks that already operate in Russia, mostly stagnating. Moreover, China has its «hands full» — the economy of China cools down, GDP growth is slowing,» — said Osadchiy.

It is noteworthy that first raised this issue of «Izvestiya» newspaper, owned «family» of Vladimir Putin.

Analysts called Putin’s personal property are also «Surgutneftegaz» and its associated private «National media group» («NMG»), which also includes the most odious propaganda of the Russian mass media («Life News», radio «Russian news service»//»RSN», selected by the competitors, the TV channel «Ren TV» and others).

National media group is officially headed by Alina Kabaeva.

Chinese banks have begun to withdraw money from Russia 05.02.2016

Февраль 5th, 2016 by
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