Calling the economists: Small businesses to go public in Russia
The Russian Central Bank head Elvira Nabiullina believes that small and medium-sized businesses have great potential to go public.
“It’s clear that it can be difficult for small and medium-sized businesses to enter the capital market because there are requirements for both corporate governance standards and disclosure of information. Though measures to support access to the market should be taken. But we see huge potential here: individual investors have entered the market, and there are funds willing to invest in small companies,” Nabiullina said.
Nabiullina refers here to the fact that at least 20% of Russians have a brokerage account, and the numbers have been growing about 100% a year since 2021.
“In our view, for both: the overall economy and for small and medium-sized businesses, the opportunities to raise funds through the capital market are undervalued,” she emphasized.
—o0o—
Comments, please. I think this is a wonderful thing given that there is a similar process in China. (Now, which business in Russia do I really like?) Finance Capital? Industrial Capital?
Indeed, what’s not to like Amarynth? This initiative will be another step towards encouraging industrial capitalism and it will undoubtedly help to develop a healthy vibrant and innovative middle class. Along with public utility banking models and sound money initiatives, this could take the Russian economy to new heights of… Read more »
Putin is very high on providing support for SMEs–Small/Medium Enterprises–through direct government subsidy. The Plenary Session of Business Russia I just finished translating and posting has a great deal of discussion on this issue, particularly in Part One. The large corporations and SOEs have no issues raising capital. Russia’s Bond… Read more »
https://www.bloomberg.com/news/articles/2023-05-24/bank-of-russia-chief-visits-iran-in-rare-trip-abroad-since-war Bank of Russia Governor Elvira Nabiullina held talks with her Iranian counterpart during a visit to Tehran, a rare foreign outing. The discussions included a focus on strengthening relations between commercial banks from the two countries as well as “increasing banking infrastructure cooperation,” Iranian central bank Governor Mohammad-Reza Farzin… Read more »
this is amazing! exactly what empire ought to have done in 2008! russians are so inventive (refer to larry romanov’s great list) ideas, products, innovations will flow through the entire bri & RoH. xi’s win win. it’s brilliant. allow people to flourish, encourage it & the spirit will grow toward… Read more »