Zee Beam News

13.10.2006 MosNews - Foreign banks are welcome to expand in Russia, but Russian banks also have the right to invest in Europe, head of the Russian Central Bank Sergei Ignatyev told a press conference in Dresden on Thursday, Oct. 12.
His comments came in reaction to concern expressed in France and Germany over the purchase of 5 percent stake in the European Aeronautic Defense and Space Company (EADS) by Russian state bank Vneshtorgbank.
Sergei Ignatyev was in Dresden for a seminar between the European Central Bank, euro zone national Central Banks and the Bank of Russia. Speaking at the seminar Ignatyev said that the Russian Central Bank is aiming to gradually reduce inflation and ensure the stability of the ruble. In the long run, it wants to drastically reduce its involvement in the foreign exchange market, he said.
Seminar participants agreed that Russia currently enjoys strong growth momentum, but some said that maintaining such high growth rates over the longer term will be a challenge.
European Central Bank President Jean-Claude Trichet said that strong GDP growth in Russia has a positive impact on the euro zone and that Russia is an important strategic partner for the euro area, particularly in the energy sector.