The Bank of Russia in August 2017 sold Federal loan bonds (OFZ) from its own portfolio on 50,043 billion rubles at nominal value, stated in the message of the Central Bank.
In the period from April 2016 to August 2017, the Bank of Russia sold Federal loan bonds with a total nominal value 195,988 billion. Also from January 2016 to August 2017 was repaid owned by the Bank of Russia Federal loan bonds with a total nominal value 43,685 billion.
In August 2017 the Bank of Russia carried out with the Ministry of Finance of the Russian Federation exchange belonging to the Bank of Russia OFZ-AD on OFZ-PD according to the principle of equality of the market values, resulting in a nominal portfolio value of the Bank of Russia decreased by 3,535 billion.
As of 1 September 2017 the balance of securities amounted to 4,862 billion rubles at face value.
The Bank of Russia plans to continue to sell OFZ.
“Selling the Bank of Russia OFZ allows to partially absorb liquidity inflows associated with financing the Federal budget deficit at the expense of the Reserve Fund. In addition, the sale OFZ could contribute to increasing the liquidity and depth of secondary market for government securities,” – notes the regulator.
The Bank of Russia sells OFZ in the course of trading on the Moscow Exchange. The Bank of Russia seeks to minimize the impact of the sales on the OFZ market.