In 2011, the State domestic debt of the RUSSIAN FEDERATION increased by 42.5 per cent at the beginning of 2012, 4 trillion. 190.55 billion. rubles. According to correspondent BakuToday from analytical agency “Investkafe”, the RUSSIAN Finance Ministry’s figures.
“This growth is nothing surprising increase in State debt required to finance the budget deficit, would happen further mainly by domestic debt, and it has been known for a long time,-commented on the data of the Ministry of finance analyst” Investkafe ” Anton Safonov. -The debt can grow up to 17 per cent of GDP by the year 2013. At best, this level will be made closer to the year 2014. The State debt last year was at the level of 9% of GDP.
If you recall the budget parameters, it becomes evident that within two years the level of State debt will make not less than 11 trillion. rubles, said the expert. “In my view, such an increase in State debt, even if it occurs only at the expense of domestic debt, could adversely affect the economic stability of the country,” he said. -First, it is unlikely that you will be able to attract funding from domestic resources alone, since they are very limited, and the growth of the external state debt will also be quite intense. Secondly, this can cause the ratings of Russia will be reduced by international rating agencies.
“Let me remind you that in 2000, the State debt amounted to 84 per cent of GDP, and a top S&P for Russia was at the level of B-. In 2006, it is heavily decreased 9% of GDP is up to, leading to gradually raise the rating to BBB +. Of course, he will not rank below investment grade, but even downsampling it at one level will lead to a sharp increase of capital outflows, “said Safonov. -Than to face this situation to investors? First of all, it would mean that the Russian stock market will rapidly fall as interest from investors is significantly reduced. Also this will affect very many industrial enterprises and the financial sector, attract borrowed funds will become more expensive and complicated. In addition, can grow and debt load ― both at the business and population “.
