Greek Eurozone Exit Not Critical for Russian Banks

Greece’s possible exit from the eurozone over its inability to service its huge debt is unlikely to be critical for Russia’s banking system, Russian Central Bank First Deputy Chairman Alexei Simanovsky said on Tuesday.

“My opinion is that there can be no critical consequences for our banking system. I am not saying that Greece is leaving the eurozone. I would not overestimate this probability,” Simanovsky said.

Russian Economic Minister Andrei Belousov said on Tuesday the weakening of the ruble, which has shed 15 percent of its value over the month in the wake of investors’ flight to safe haven currencies amid the flaring eurozone debt crisis and falling oil prices, would not have any material effect on inflation.

“So far, ruble volatility has not affected inflation in any way. We believe that the extent of the ruble’s current depreciation will not have any material effect on inflation,” Belousov said on the sidelines of the APEC trade ministers’ forum in Kazan.

The ruble has managed to pare some of its losses against the dollar and the euro in the past two days, after oil edged higher and is now trading at about 33.23 to the greenback on the MICEX-RTS forex market.


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