Russia: A touch too bullish on the bear?

Bankers are selling hard the story of Russia’s return to the Eurobond market with City of Moscow’s latest foray. Yet investors need to be cautious given the republic’s recent debt history. The queue of credible issuers is far from endless and likely to be trimmed by the Russian government as it prepares for its own refinancing in 2002.

Author: Chris Cockerill

Russia is booming. And Russian issuers, we are told, are once again queuing up to tap the Eurobond market. The news has prompted enthusiasm from overnight experts on Russia. As one such banker puts it: “It’s been a place of 900 years of serfdom, 70 years of communism, and then was subjugated by 10 years of corruption when nobody knew what the hell was going on. But I’m bullish now, very bullish about the country.

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