1. Russian Banking System – the Current State and the Prospects for the Future Developments

2. The Phases of the Russian Banking System Developments
The Structure of the Financial Flows in the Russian Economy
The Prospects of the National Banking System Developments

3. The Phases of the Russian Banking System Developments in the Transition Period
1. The Appearance of the Russian Banking System in the Transition Period ( )
2. The Recovery of the Russian Banking System After the System Financial Crises in August 1998 (September )
3. The Current State and the Prospects for the Future Developments of the National Banking System ( )

4. The Scenarios of the Banking System Recovery in the Post-Crisis Period
The Government Support
The Foreign Capital Invasion
Using Own Activity and Own Capital

5. Russia’s Banking System Key Indicators (as on the beginning of the period, in USD according to the market exchange rates)
Year Assets Charter Capital Own Capital Enterprises' Loans
,2 7,7 20,4 34,0
,9 3,0 5,2 14,5
,7 5,3 7,1 16,8
,7 7,5 10,4 27,5
,7 9,0 15,0 39,8
,2 10,0 18,3 50,8

6. Current Trends in Banking System
Fall of the Profitability
Shortage of the Financial Instruments
Increase of the External Credits
Increase of the Market Risks

7. The Net Financial Flows Between Russians Banks and Economic Agents as on 01.01.1998 (%GDP)

8. The Net Financial Flows Between Russians Banks and Economic Agents as on 01.01.2004 (%GDP)

9. Net Financial Flows (% GDP)
Commercial Banks -2,97 -2,60 -0,97 -1,90 -1,62 -1,30 -1,15
CBR 2,23 1,87 2,54 3,54 2,86 3,78 4,95
Government 7,15 6,44 3,92 3,34 2,93 3,00 2,73
Regions 0,60 0,52 0,09 -0,28 -0,23 0,08 0,28
Enterprises 2,24 1,01 -1,83 -1,46 1,09 1,84 3,63
Households -7,58 -7,13 -5,77 -5,61 -6,72 -8,38 -9,37
Non-Residents -1,67 -0,12 2,03 2,36 1,68 0,97 -1,06

10. Banking Classification
- The State’s Control Banks
- Private Banks
- Foreign Banks

11. State Control Banks Households’ Deposits Foreign Loans
Credits to the Real Sector
Financial Markets

12. Private Banks High Cost of the Liabilities Low Capitalization
Low Credit Ratings
High Risk of the Assets

13. Foreign Banks Cheap Deposits Access to the Foreign Loans
Good Financial Results

14. The Financial Results of the Selected Banks on the Russian Market
Profit/Capital Profit/Capital
Domestic Banks
Industrial Construction Bank 45,5% 39,4%
Sberbank of RF* 30,2% 26,7%
Gazprombank* 13,2% 19,6%
Moscow Bank 10,2% 18,0%
Vneshtorgbank of RF* 22,1% 17,9%
Rosbank 16,5% 9,6%
MDM-bank 1,7% 7,5%
Alfabank 1,6% 1,3%
Foreign Banks
Raiffeisenbank 49,4% 66,7%
Commerzbank (Eurasia) 33,6% 65,5%
International Moscow Bank 31,5% 52,8%
ABN AMRO (Eurasia) 48,0% 36,0%
Citibank 39,6% 31,0%
CSFB 36,1% 21,8%