4 Sep 2009 16:01

CB expects 10 banks to be merged, two foreign auto concerns to enter market

SOCHI. Sept 4 (Interfax) - The Central Bank of Russia expects ten banks to be merged with others this year and two foreign automobile concerns to enter the market.

"The number of mergers could exceed those that have already taken place by the end of the year. We know of seven banks that intend to combine with ten banks by the end of the year," Mikhail Sukhov, director of the CB's Department for Licensing and Financial Recovery, said at a banking forum in Sochi.

This indicates that the banking sector could be poised to liven up, Sukhov said.

In addition, he said "three foreign automobile makers have already formed [subsidiary banks in Russia] and these could be joined by another two by the end of the year."