No need to bail out subsidiaries of foreign banks, banking system stable - Nabiullina

MOSCOW. Oct 28 (Interfax) - The Central Bank of Russia sees no need to bail out the subsidiaries of foreign banks in the near future, as the banking system is stable on the whole, Central Bank Governor Elvira Nabiullina said at a press conference on Friday.

"As concerns the work of Russian subsidiaries of foreign banks, in Russia, we relate to them as Russian banks, and all regulatory and supervisory practice is set up in absolutely the same way. But, indeed, transactions with the assets of a number of them, by list, require special permission. Such criteria have not yet been fixed, work is underway on a decree. It's difficult to talk about this for now, an entire set of factors will be considered in this situation, it seems," Nabiullina said.

"I don't yet see some sort of potential need for a bail out. We don't see any such cases for this to be required in the short term, because the banking system is stable on the whole," she said.

She also said the presidential decree concerned only the sale of shares in the subsidiaries of foreign banks, not their loan portfolios.