RZB Says Retail Deposits Are Up In Russia

The Russian subsidiary of Raiffeisen International, had attracted a total of more than USD 1 billion in retail deposits by the end of the third quarter 2005. This reflects an increase of 74 per cent compared to the year end

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The Russian subsidiary of Raiffeisen International, had attracted a total of more than USD 1 billion in retail deposits by the end of the third quarter 2005.

This reflects an increase of 74 per cent compared to the year-end figures for 2004 of USD 576 million. The majority of deposits were made in the Moscow-based branches of Raiffeisenbank. According to CEA Interfax Raiffeisenbank ranks 8th in terms of private deposits in Russia.

One of the main reasons for the high level of confidence of customers depositing money with Raiffeisenbank is its high reliability verified by Moody’s Investors Services. Moody’s has just upgraded the assigned rating of Raiffeisenbank for longand short-term foreign currency deposits from Ba1/Not Prime to Baa2/Prime-2. This is the best possible rating for a private company in Russia as it is constrained by Russia’s country ceiling which is Baa2 as well.

Within the next 12 months Raiffeisenbank intends to open 23 new branches in Moscow and in provincial towns in Russia, increasing the total number of branches up to 40. These openings are part of an extensive branch development programme to utilize the retail banking market potential in Russia.

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