OREANDA-NEWS. March 20, 2009. The Bank of Russia does not expect a second wave of bankruptcy among banks or major losses in FY 2009 and advises banks to observe the rules without counting on benefits from the regulator. “The Central Bank is allocating monetary resources on a case-by-case basis, but it is impossible to provide financial resources and weaken requirements for banks at the same time”, Director of Credit Institutions Licensing and Financial Rehabilitation Department of the Bank of Russia Mikhail Sukhov said at a meeting with bankers.

In times of financial difficulties, “there will be plenty of players looking to fish in murky waters”, Sukhov added. According to CBR, since October 2008, more than 50 banks, which have either had their licenses revoked or undergone rehabilitation, “have refused to play by the rules”; they either failed to comply with the H6 standard (high credit risk exposure), or the H12 standard (high equity risk exposure), or had no real capital at all.