Russian Central Bank Revokes 2 Bank Licenses

Russia’s Central Bank has withdrawn the licenses from two of the country’s banks as part of a larger effort to consolidate the banking sector.

The Central Bank announced on Monday that it has revoked Interkommerzbank’s license. It said there was a significant imbalance between the assets and liabilities of the country’s 67th largest bank.

It also withdrew the license of the country’s 186th largest bank, Alta Bank.

The closures are part of the Central Bank’s campaign to consolidate the banking sector, currently characterized by a large number of small banks. The movement is controversial; it creates greater long-term stability, but there is uncertainty about which bank is next.

Interkommerzbank and Alta Bank clients will be able to recover up to 1.4 million

via Mainichi

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza