MIKHAIL KHROMOV: IT IS NOT THE POINT WHETHER THE PRIVATIZATION IS NEEDED OR NOT
Mikhail Khromov, Head of the Financial Studies Laboratory, the Gaidar Institute made a comment to the REGNUM Information Agency on the statement by Maxim Oreshkin, Minister of Economic Development of the Russian Federation as regards the need to sell for “real value” the banks taken under control by the Central Bank of Russia.
According to Mikhail Khromov, for the privatization of banks taken under control by the Central Bank of Russia a large private investor is needed, however, at present it is difficult to find one.
"It is banks which go through financial rehabilitation under management of the Central Bank of Russia”, Mikhail Khromov said. “The issue of their return to the private sector has been on the agenda since 2017 when those banks embarked on the way of financial rehabilitation. If the fair price is meant here, a large investor is required, but it is rather difficult to find one in the current situation of low investment attractiveness of the Russian finances. So, it is not the point whether the privatization is needed or not. In terms of the structure of the banking sector, it would be better to have a fairly diversified ownership, but I believe those banks should not be sold off tomorrow, no matter what.”
In Mikhail Khromov’s opinion, one should wait for the good investment attractiveness to come because at present foreigners do not take much interest in such investments, while the resale of banks to large state corporations is not going to change the situation much for the better.
"It is banks which go through financial rehabilitation under management of the Central Bank of Russia”, Mikhail Khromov said. “The issue of their return to the private sector has been on the agenda since 2017 when those banks embarked on the way of financial rehabilitation. If the fair price is meant here, a large investor is required, but it is rather difficult to find one in the current situation of low investment attractiveness of the Russian finances. So, it is not the point whether the privatization is needed or not. In terms of the structure of the banking sector, it would be better to have a fairly diversified ownership, but I believe those banks should not be sold off tomorrow, no matter what.”
In Mikhail Khromov’s opinion, one should wait for the good investment attractiveness to come because at present foreigners do not take much interest in such investments, while the resale of banks to large state corporations is not going to change the situation much for the better.