The Finance Ministry reports that the fiscal surplus widened in 8m12 to nearly R530 bln, implying strong absorption of liquidity from the system. Revenue flows remain stable and consistently exceed R1 trln per month (R1.1 trln in August). Given that budget revenues have already reached nearly R8.4 trln, it is very likely that total revenues will approach R13 trln by year end (as tax collection soars in December), above the government's target (just below R12.7 trln). With expenditures budgeted at slightly over R12.7 trln, the budget should be in surplus to the tune of around R300 bln by year end.

The EBRD is stepping up its support of Ukrainian agribusiness with a new deal within the framework of its Private Sector for Food Security Initiative.The EBRD is providing a US$ 50 million revolving loan facility to Alfred C. Toepfer (Ukraine) Ltd (ACTI Ukraine) to finance the company’s working capital needs associated with production of agricultural commodities in Ukraine.

The website of the Eurasian Economic Commission has reported that at the meeting between the Director of Agrarian Policy Department of CES Nadezhda Kotkovets with the General Director of the Russian Poultry Union Galina Bobyleva and her deputy Yelena Ivanova, attendees have discussed the integration of the Customs Union and the Common Economic Space member states in the poultry industry and the creation of the Union of poultry farmers as part of the Customs Union.

A recent survey conducted by recruitment consultants Antal Russia discredits the widespread assertion that moving to competitors is regarded by former employers as "treason". 61% of employers believe that the moving of employees to competitors is ethical, and only 20% of companies use policies that prohibit staff from moving to competing organizations for a certain period of time after the termination of employment.

Strategy Quarterly. September 2012

Russia has become something of a bipolar investment market. On one hand, there is the side of Russia than mandates a higher risk premium to that of EM peers. It is the Russia that provides the regular stream of negative international headlines and it is the portion of the stock market mainly perceived to be vulnerable to a global economic slowdown. On the other hand, Russia is quietly going about its business. It enjoys an expanding domestic economic base, a fast-growing consumer story and a stable economy.

As part of the Sberbank of Russia and Troika Dialog integration process, Peter Holowka has been appointed Head of E-FX, Managing Director. Peter joined the company on September 10 and will report to Maxim Safonov, Head of FICC, Managing Director. In his new position Peter will develop the E-FX trading strategy and build upon the Fixed Income, Currencies and Commodities (FICC) team’s extensive global offering.

Two senior strategic hires as part of the continued build out of the sector expertise and industry capabilities at the combined Sberbank of Russia and Troika Dialog platforms strengthens the unit. Max Kolodkin and Sergei Chinkis join as Managing Directors, Co-Heads of Sector Investment Banking, for the company’s Investment Banking platform. Max and Sergei will both start in September, reporting directly to Todd Berman, Head of Investment Banking.

"If the world should blow itself up, the last audible voice would be that of an expert saying it can't be done" : Peter Ustinov

Hoping the ECB has started a positive momentum. The story of Russian equity performance has been very straightforward all year. The market outperformed peers as global markets rallied when risk phobia fell, while the market underperformed when risk aversion rose. The specific headlines from Russia (the positive economic and earnings momentum, and the negative politics) have had relatively little impact. At the start of the summer, the hope was that policymakers would finally stop procrastinating, and take more pragmatic steps to start dealing with slowing economies and the Eurozone risk.

A working meeting between the General Director, Chairman of the Board of OJSC MMC Norilsk Nickel (hereinafter – “Norilsk Nickel” or “the Company”) Vladimir Strzhalkovsky and President Susilo Bambang Yudhoyono of the Republic of Indonesia took place at APEC Business summit in Vladivostok on September, 8th. The parties discussed implementation of the Company’s future projects in Indonesia, including construction of a copper smelting complex with a capacity of 400 thousand ton per year, as well as possible development of copper-nickel deposits in the region.

The Corporate and Investment Business (CIB) of Sberbank and Troika Dialog, Russia’s largest universal banking group, has launched its London Russia investment conference – “Russia: The Inside Track” – taking place on Monday and Tuesday this week.