Russia may float Eurobond benchmark in 2012

Deputy Finance Minister Sergei Storchak on Tuesday said he does not rule out Russia may enter the foreign market with a benchmark Eurobond issue in 2012.

“We hope the government will consent to float benchmark issues. We need to support our issued bonds. Of course, if we do not enter the market, what kind of support can be talked about?” Storchak told reporters, adding that the final decision would be made by the government which preferred to place securities on internal markets.

In 2010, Russia placed Eurobonds worth $5.5 billion for the first time after a 12-year gap.

He also said that the Russian government had serious plans on internal and foreign borrowings for next three years.

“We are talking about 2 trillion rubles per year, this is a nominal value,” he said adding that the level of borrowings would be slightly higher than in 2011 and much higher than eight years ago when Russia borrowed 200-350 billion rubles a year.

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