Capital flight from Russia accelerated in 2012 and may reach $70 billion by the end of the year amid moderate inflation, the Central Bank said Wednesday.
Net private capital outflow reached $61 billion during the first nine months of the year, exceeding the previous year's result by $1 billion, Central Bank Chairman Sergei Ignatyev said at a meeting in the State Duma, Prime reported.
According to Central Bank data, net capital outflow for 2012 reached $57.9 billion in September, Ignatyev reported, noting that in the last two months Russian financial markets lost $9 billion.
The Central Bank forecasts that annual capital flight will reach $67 billion in 2012. But the Economic Development Ministry does not rule out that the final number will be closer to $70 billion, Prime said.
Capital flight totaled $84.2 billion in 2011, far exceeding initial official forecasts and analysts' expectations.
Speaking about the inflation outlook, Ignatyev said there are good chances inflation will drop below 6 percent within a year, while it is likely to stay in the 6.5 to 7 percent range for the remainder of 2012.
The chief banker added that "thanks to consistently high oil prices" Russia's current balance of payments remained positive at $79 billion, showing a minor drop from the previous year.
Both export and import activity demonstrated a 3 percent growth in the first nine months of the year, Ignatyev said.
Related articles:
A Message from The Moscow Times:
Dear readers,
We are facing unprecedented challenges. Russia's Prosecutor General's Office has designated The Moscow Times as an "undesirable" organization, criminalizing our work and putting our staff at risk of prosecution. This follows our earlier unjust labeling as a "foreign agent."
These actions are direct attempts to silence independent journalism in Russia. The authorities claim our work "discredits the decisions of the Russian leadership." We see things differently: we strive to provide accurate, unbiased reporting on Russia.
We, the journalists of The Moscow Times, refuse to be silenced. But to continue our work, we need your help.
Your support, no matter how small, makes a world of difference. If you can, please support us monthly starting from just $2. It's quick to set up, and every contribution makes a significant impact.
By supporting The Moscow Times, you're defending open, independent journalism in the face of repression. Thank you for standing with us.
Remind me later.
