Foreigners' share in Russia's bonds rises
Friday, 26 August 2022
MOSCOW, Aug 25 (Reuters): The share of foreign investors among holders of Russia's OFZ treasury bonds rose to 17.9 per cent in July from to 17.6 per cent in June, its lowest since late 2012, as the overall market size shrank by 2.5 per cent over one month, central bank data showed on Thursday.
Foreign investors are unable to withdraw funds from Russia as Russian authorities put restrictions on capital withdrawal and banned non-residents from selling Russian securities after Moscow started what it calls a "special military operation" in Ukraine on February 24.
The Russian finance ministry plans to resume domestic borrowing via OFZ bonds in September, having suspended the issuance of these bonds, which it uses to plug budget holes, in February amid increased market volatility.