Money, money and even more money…
Well I sure many of you will be aware of the huge sums Russians have been spending overseas, and have speculated how much this might be?
Well this is now backed up by figures recently released by the Central Bank.
Capital flight from Russia accelerated in 2012 and may reach $70 billion by the end of the year amid moderate inflation, the Central Bank said.
Net private capital outflow reached $61 billion during the first nine months of the year, exceeding the previous year's result by $1 billion, Central Bank Chairman Sergei Ignatyev said at a meeting in the State Duma, Prime reported.
The Central Bank forecasts that annual capital flight will reach $67 billion in 2012. But the Economic Development Ministry does not rule out that the final number will be closer to $70 billion, Prime said.
Capital flight totaled $84.2 billion in 2011, far exceeding initial official forecasts and analysts' expectations.
Speaking about the inflation outlook, Ignatyev said there are good chances inflation will drop below 6 percent within a year, while it is likely to stay in the 6.5 to 7 percent range for the remainder of 2012.
The chief banker added that "thanks to consistently high oil prices" Russia's current balance of payments remained positive at $79 billion, showing a minor drop from the previous year.
Both export and import activity demonstrated a 3 percent growth in the first nine months of the year, Ignatyev said.
This was also good news for the many international realtors and developers who took part in recent International Property exhibitions held in Russia.
The winter season ended with a busy week, when international delegates attended the 3rd Russian Property Summit
and the Moscow International Property Show
These summits have been designed to enable international developers and realtors to listen to local experts explaining the methods of marketing international property to attract serious Russian investors. Over 240 Russian agents queued to talk to the delegates about representing them in Russia and the summit over ran by three hours. This summit was a big success, which will be repeated again next November.
At the same time over 200 exhibitors from Europe to the Pacific Islands took part in the property show offering mid-range to luxury real estate. Held in the centre of Moscow at the Tishinka exhibition centre the exhibitors included developers, constructing companies, consulting firms, real estate agencies, state organisations specialized on investing and economic development, financial experts and mass media.
The Moscow International Property Show, which is held twice a year, attracts more than 7000 people. The popularity of the exhibition can be explained by several reasons: it's an improved well-being, price decreased due to financial global crisis, and investing valuable. Moreover there's a tendency of mutual interest: real estate and property companies pay more attention to Russia in a few last years, due to Russian investors ability as serious real estate market players in very different countries including such authoritative states such as Great Britain, Switzerland, Canada, USA.
This is now supported by the Central Bank’s data.