Reduced refinancing will not affect deposits

Banks Finansy29-01-2007 snizal Central Bank refinancing rate. Now some analysts fear falling income on deposits. However, as explained "Pravde.Ru" banking experts, the level of deposit rates are unlikely to change significantly. On Monday the Bank of Russia refinancing rate was reduced from 11 to 10,5%. This caused a discussion in banking circles. According to some experts, investors, or will be faced with lower yields - interest rates on deposits will be lowered, or in excess of deposit rates will have to pay tax. However, the Deputy Director of the retail business ROSBANK Dmitry Vechkanov believes that reducing refinancing is unlikely to affect the level of interest rates on deposits. He refers to data from recent years: "The practice shows that previous reductions in the level of interest rates on deposits does not change significantly". On the other hand suggests that the excess of the rates on deposits are not so great evil, because to pay 35% in taxes will have only one part of the income, which was formed as the difference between the refinancing rate and deposit rate. Another argument: the most reputable banks in the deposit rates are already less than 10 percent. Troublemaker, most analysts said Sberbank, which is already written, "Pravda.Ru, was released to the market with a new issue in the case of a successful outcome of cases may be to lower interest rates on deposits, as the need to borrow from him will weaken. What to do, each bank will solve itself. But if the central bank have any doubts about his ability to pay off depositors, the Central Bank may require a lower deposit rate. The refinancing rate - the interest rate used by the central bank in providing loans to commercial banks in order of refinancing. This is one of the mechanisms of regulation of the interbank market, as well as the impact on interest rates on loans and deposits, which provide lending institutions to businesses and individuals. Elena Ponomareva