Brendan Cole is a Newsweek journalist in London in the United Kingdom. Its objective is Russia and Ukraine, in specific the war introduced through Moscow. It also covers other geopolitical spaces, adding China. Brendan joined Newsweek in 2018 by International Business Times and, as well as in English, meets Russian and French. You can touch Brendan by sending an email to B. cole@newsweek. com or follow him in his account x @brendanmarkcole.
Based on the facts, it was observed and verified first through the journalist, or informed and verified of competent sources.
The Central Bank of Russia rejected accusations that retail deposits may be frozen in the middle of the state of the country’s sanctions economy.
The Central Bank is directed through Elvira Nabiullina, a better friend of Russian President Vladimir Putin. Another best friend, Andrey Kostin, Russian VTB Bank leader, vehemently rejected complaints.
Newsweek contacted the Russian Central Bank to comment by email.
The sanctions imposed after the giant scale invasion of Ukraine of Putin have polished the economy of Russia. Rumors of frozen deposits have echoed hyperinflation after the Cave of the Soviet Union in 1991 and the monetary crisis of the country in 1998, in which many Russians lost their savings.
The key interest rate established through the Russian Central Bank higher than 21% in 2024, while seeking to restrict inflation of 8. 9%, more than its objective, the record expenses of the army and the shortage of personnel.
As consumers have presented their cash in short -term deposits, banks tried through interest rates higher than the reference rate, the hypothesis has set that the Central Bank can freeze deposits to stop an emerging savings bubble.
From the construction at key interest rates last year, the Russians have been moving effective among banks to download yields.
In 2024, higher retail deposits through a third and Bank VTB estimated that the Russians earned approximately 7 billion rubles (68 billion dollars) of interest last year, Reuters reported.
But citizens care that there is an action to avoid this hurry towards the deposit and that the Central Bank has flooded with questions as it can freeze the deposits to combat the opposite to the emerging bubble.
In A Telegram, the Central Bank described such a resolution to violate citizens and corporations to administer their assets and said it would undermine the bank formula and monetary stability.
Bank VTB and Putin Ally leader Andrey Kostin also rejected rumors in an interview with the Business newspaper on Wednesday.
But the opposition leader of the new people’s party, Alexei Nechayev, said that many doubted the Central Bank insurance and proposed a law in which it can make decisions about the savings of citizens with the consent of the Parliament (state Duma).
The things Herven in Russia. The leader of the new People party, Alexei Nechayev, proposed to adopt a law according to which the Central Bank will be to make decisions about citizens . . . pic. twitter. com/5upsnéd0z
The Central Bank of Russia on Tuesday told rumors of retail freezing: “This concept is absurd. In addition to being a shameless violation of rights and companies to administer their assets, such a step would undermine the foundations of the banking system. “
The leader of the new people’s party, Alexei Nélayav, said about Nabiullina: “In our country, another 3 people will have to press the nuclear button. One of them is the president [but] a user makes decisions about the cash of the people Not so.
The statement of the Central Bank that a freezing in the accounts would push other people to invest in spaces such as genuine property, which would develop inflation, the same challenge that tries to address.
Western sanctions have been imposed on all primary Russian banks, although the country’s bank formula has so far avoided banking and bankruptcy careers.
Brendan Cole is a Newsweek journalist in London in the United Kingdom. Its objective is Russia and Ukraine, in specific the war introduced through Moscow. It also covers other geopolitical spaces, adding China. Brendan joined Newsweek in 2018 by International Business Times and, as well as in English, meets Russian and French. You can touch Brendan by sending an email to B. cole@newsweek. com or follow him in his account x @brendanmarkcole.
Brendan Cole is a Newsweek journalist in London in the United Kingdom. Its objective is Russia and Ukraine, in specific the war introduced through Moscow. It also covers other geopolitical spaces, adding China. Brendan joined Newsweek in 2018 by International Business Times and, as well as in English, meets Russian and French. You can touch Brendan by sending an email to B. cole@newsweek. com or follow him in his account x @brendanmarkcole.