Central Bank of Russia

From Wikipedia, the free encyclopedia
Jump to: navigation, search
Bank of Russia
Банк России
CBRF.png
Headquarters 12 Neglinnaya str., Moscow, Russian Federation
Coordinates 55°45′47″N 37°37′14″E / 55.76303°N 37.62056°E / 55.76303; 37.62056
Established 1860 (1860)
President Elvira Nabiullina
Central bank of  Russia
Currency Russian ruble
RUB (ISO 4217)
Reserves $397.9 B, As of 1 April 2017
Bank rate 9.75%
Preceded by State Bank of the USSR (between 1922-1991)
Website cbr.ru

The Central Bank of the Russian Federation also known as the Bank of Russia (Russian: Банк России Bank Rossii) is the central bank of the Russian Federation, founded in 1860 as The State Bank of the Russian Empire,[1] headquartered on Neglinnaya Street in Moscow. Its functions are described in the Russian constitution (Article 75) and in the special Federal Law.

History[edit]

Timeline of central banking in Russia
Dates System
1769–1818 State Assignation Bank
1818–1860 State Commercial Bank
1860–1917 State Bank of Russia
1917–1922 People's Bank of the RSFSR
1922–1991 State Bank of the USSR
1991–present Central Bank of Russia
Sources:[2]
Bank of Russia headquarters in Moscow

State Bank of the Russian Empire[edit]

GosBank headquarters in Saint Petersburg (1905)

The decision to create a State Bank of the Russian Empire was made by Emperor Peter III on May 1762,[3] which was modeled on Bank of England and would have the right to issue bank notes. However, due to the coup on June 28, 1762 and the murder of the Czar, the project was implemented. The outbreak in 1768 the Russian-Turkish War and deficit of the state budget forced Catherine II, in turn, refer to the idea of issuing a paper money, and in December 1768 she formed the State Assignation Bank, which existed until 1818 and was replaced by the State Commercial Bank, but the first central banking body in Russia was established on 12 June [O.S. 31 May] 1860 as The State Bank (GosBank) of the Russian Empire (Russian: Государственный банк Российской Империи) which was formed on the base of the State Commercial Bank by ukaz of Emperor Alexander II. This ukaz also ratified the Statues of the bank. According to the Statute, it was a state-owned bank, intended for short-term credit of trade and industry.

In early 1917 the Bank had 11 branches, 133 permanent and 5 temporary offices and 42 agencies. On 7 November 1917 the Russian State Bank was disestablished and replaced by The People's Bank which existed until the establishment of the Soviet Gosbank.

State Bank of the Soviet Union[edit]

Main article: Gosbank

The Central Bank of the Russian Federation[edit]

The Central Bank of the Russian Federation (Bank of Russia) was established July 13, 1990 as a result of the transformation of the Russian Republican Bank of the State Bank of the USSR. It was accountable to the Supreme Soviet of the RSFSR. On December 2, 1990 the Supreme Soviet of the RSFSR passed the Law on the Central Bank of the Russian Federation (Bank of Russia), according to which the Bank of Russia has become a legal entity, the main bank of the RSFSR and was accountable to the Supreme Soviet of the RSFSR. In June 1991, the charter was adopted by the Bank of Russia. On December 20, 1991 the State Bank of the USSR was abolished and all its assets, liabilities and property in the RSFSR were transferred to the Central Bank of the Russian Federation (Bank of Russia), which was then renamed to the Central Bank of the Russian Federation (Bank of Russia). Since 1992, the Bank of Russia began to buy and sell foreign currency on the foreign exchange market created by it, establish and publish the official exchange rates of foreign currencies against the ruble.

Role and duties[edit]

According to the constitution, it is an independent entity, with the primary responsibility of protecting the stability of the national currency, the ruble.[citation needed]

It is the main regulator of the Russian banking industry, responsible for banking licenses, rules of banking operations and accounting standards, serving as a lender of last resort for credit organizations.[citation needed]

It holds the exclusive right to issue ruble banknotes and coins through the Moscow and St. Petersburg mints, the Goznak mint.[citation needed] The central bank issues commemorative coins made of precious and non precious metals as well as investment ones made of precious metals, which are distributed inside and outside the country.[4] In 2010 in honor of its 150th anniversary it issued a 5-kilo commemorative gold coin Alexander II.[5]

Under Russian law, half of the bank's profit must be channeled into the government's federal budget. The Central Bank of Russia is a member of the BIS.[6]

The Bank of Russia owns a 57.58% stake in Sberbank, the country's leading commercial bank.

Chairmen[edit]

Governors of the State Bank[edit]

The Governor was appointed by the Emperor of Russia.

Name (governor) Photo Term of office Appointed by
Start of term End of term
1 Alexander von Stieglitz Alexander Baron Stieglitz.jpg June 10, 1860 1866 Alexander II
Alexander II of Russia photo.jpg
2 Evgeniy Lamanskiy Ламанский Евгений Иванович.jpg 1866 1881
3 Alexey Tsismen Tsimsen.jpg 1881 1889 Alexander III
Kramskoy Alexander III.jpg
4 Alexey Tsismen Tsimsen.jpg 1881 1889
4 Yuliy Zhukovskiy Zhukovskij, Julij Galaktionovich.jpg 1889 1894
5 Eduard Pleske Eduard Pleske.jpg 1894 1903 Nicholas II
Nicholas II by Boissonnas & Eggler c1909.jpg
6 Sergey Timashev Sergey Timashev.jpg 1903 1909
7 Alexey Konshin Konshin AV.jpg 1909 1914
8 Ivan Shipov Shipov Ivan Pavlovich.jpg 1914 1917

Chairman of the Board of the USSR State Bank[edit]

The Chairman was appointed by the Premier of the Soviet Union.

Name (governor) Photo Term of office Appointed by
Start of term End of term
1 Aron Sheinman[7] State Emblem of the Soviet Union.svg 1921 1924 Vladimir Lenin
LeninEnSuizaMarzo1916--barbaroussovietr00mcbr.png
2 Nikolai Tumanov State Emblem of the Soviet Union.svg March 5, 1924 January 16, 1926 Alexei Rykov
Alexei Rykov.jpg
3 Georgy Pyatakov Pyatakov GL.jpg April 19, 1929 October 18, 1930
4 Moissei Kalmanovich State Emblem of the Soviet Union.svg October 18, 1930 April 4, 1934 Vyacheslav Molotov
Vyacheslav Molotov Anefo2.jpg
5 Lev Maryasin State Emblem of the Soviet Union.svg April 4, 1934 July 14, 1936
6 Solomon Kruglikov State Emblem of the Soviet Union.svg July 14, 1936 September 15, 1937
7 Alexey Grichmanov А.П.Гричманов.jpg September 15, 1937 July 16, 1938
8 Nikolai Bulganin Bundesarchiv Bild 183-29921-0001, Bulganin, Nikolai Alexandrowitsch.jpg October 2, 1938 April 17, 1940
9 Nikolai K. Sokolov State Emblem of the Soviet Union.svg April 17, 1940 October 12, 1940
10 N. Bulganin Bundesarchiv Bild 183-29921-0001, Bulganin, Nikolai Alexandrowitsch.jpg October 12, 1940 May 23, 1945 Joseph Stalin
Stalin office.jpg
11 Yakov Golev State Emblem of the Soviet Union.svg May 23, 1945 March 23, 1948
12 Vasily Popov State Emblem of the Soviet Union.svg March 23, 1948 March 31, 1958 Georgy Malenkov and Nikolai Bulganin
Georgy Malenkov 1964.jpg
Nikolai Bulganin 1955.jpg
13 N. Bulganin Nikolai Bulganin 1955.jpg March 31, 1958 August 15, 1958 Nikita Khrushchev
Bundesarchiv Bild 183-B0628-0015-035, Nikita S. Chruschtschow.jpg
14 Alexander Korovushkin State Emblem of the Soviet Union.svg August 15, 1958 August 14, 1963
15 Alexey Poskonov State Emblem of the Soviet Union.svg 1963 1969 Alexei Kosygin
A. Kosygin 1967.jpg
16 Miefodiy Svieshnikov State Emblem of the Soviet Union.svg 1969 1976
17 Vladimir Alkhimov State Emblem of the Soviet Union.svg October 11, 1976 January 10, 1986 Nikolai Tikhonov
Tihonov.jpg
18 Viktor Dementsev State Emblem of the Soviet Union.svg January 10, 1986 August 22, 1987 Nikolai Ryzhkov
Nikolay Ryzhkov2.jpg
19 Nikolai Garetovsky State Emblem of the Soviet Union.svg August 22, 1987 June 7, 1989
20 Viktor Gerashchenko Viktor Gerashchenko3.jpg June 7, 1989 August 26, 1991 Valentin Pavlov
Valentin Pavlov.JPG
21 Andrei Zverev State Emblem of the Soviet Union.svg August 26, 1991 December 20, 1991 Ivan Silayev

President of the Central Bank of Russia[edit]

President of the Board of Governors of the Central Bank
NabiullinaElvira.jpg
Incumbent
Elvira Nabiullina

since June 24, 2013
Appointer President of Russia
Formation May 31, 1860; 156 years ago (1860-05-31)
First holder Alexander von Stieglitz
Website Bios

The President of the Board of Directors of the Central Bank is the head of the central banking system of the Russian Federation. The Head is chosen by the President of Russia; and serves for four-year-terms after appointment. A Head may be appointed for several consecutive terms (Sergey Ignatyev was the Governor of the Central Bank for 11 years, and he was appointed three times, in the longest serving term in post-soviet Russia).

Name (governor) Photo Term of office Appointed by
Start of term End of term
1 Georgy Matyukhin CBRF.png December 25, 1990 May 16, 1992 Boris Yeltsin
Борис Николаевич Ельцин.jpg
2 Viktor Gerashchenko Viktor Gerashchenko2.jpg November 4, 1992 October 18, 1994
3 Tatyana Paramonova CBRF.png October 19, 1994 October 22, 1995
4 Alexander Khandruyev CBRF.png November 8, 1995 November 22, 1995
5 Sergei Dubinin Sergey Dubinin, July 2011.jpeg November 22, 1995 September 11, 1998
6 Viktor Gerashchenko Viktor Gerashchenko1.jpg September 11, 1998 March 20, 2002
7 Sergei Ignatyev Ignatyev S M 2011 12 21.jpeg March 21, 2002 June 23, 2013 Vladimir Putin
Vladimir Putin 2015.jpg
9 Elvira Nabiullina Elvira Nabiullina.jpg June 24, 2013 present

Politics[edit]

In December 2014, amidst falling global oil prices, Western sanctions over the Ukraine crisis, capital flight, and fears of recession, the bank had increased the one-week minimum auction repo rate up by 6.5 points to 17 percent. This caused a run on the rouble, and on January 29, the bank decreased the rate by two points to 15 percent.

In January 2015, the head of monetary policy, Ksenia Yudayeva, a proponent of strict anti-inflation policy, was replaced by Dmitry Tulin, who is "seen as more acceptable to bankers, who have called for lower interest rates".[8]

See also[edit]

References[edit]

  1. ^ History of the Bank of Russia. 1860-2010. In 2 vols. Ed.: Y. A. Petrov, S. Tatarinov. 2010.
  2. ^ CBR. "banking history". 
  3. ^ Об учреждении Государственного банка [On the establishment of the State Bank] (in Russian). XV, 1758—1762 , № 11550 (Полное собрание законов Российской империи (ru) с 1649 года ed.). СПб.: Типография II отделения Собственной Его Императорского Величества канцелярии. 1830: 1021—1023. 
  4. ^ "Commemorative Coins - Banknotes and Coins - Bank of Russia". cbr.ru. 
  5. ^ "Russia to issue 5 kg gold coin" Archived May 23, 2010, at the Wayback Machine., The Financial Express. May 19, 2010. Accessed May 19, 2010.
  6. ^ "Inside the Risky Bets of Central Banks", The Wall-Street Journal. Dec. 12, 2012
  7. ^ "The State Bank of the USSR". Bank of Russia Today. Bank of Russia. Retrieved 26 May 2015. 
  8. ^ Jason Bush, Lidia Kelly and Alexander Winning (30 January 2015). "Russian central bank makes surprise interest rate cut". Reuters. Retrieved 31 January 2015. 

Further reading[edit]

  • Barenboim, Peter (2001). "Constitutional Economics and the Bank of Russia". Fordham Journal of Corporate and Financial Law. 7 (1): 160. 

External links[edit]

Coordinates: 55°45′47″N 37°37′17″E / 55.76306°N 37.62139°E / 55.76306; 37.62139