Financial crisis in the Russian Federation: Are the Russians learning to tango?
Article first published online: 10 JAN 2003
The European Bank for Reconstruction and Development, 1999
Economics of Transition
Volume 7, Issue 3, pages 687–715, November 1999
How to Cite
Buchs, T. D. (1999), Financial crisis in the Russian Federation: Are the Russians learning to tango?. Economics of Transition, 7: 687–715. doi: 10.1111/1468-0351.00031
- Issue published online: 10 JAN 2003
- Article first published online: 10 JAN 2003
- Cited By
- financial liberalization;
- currency crisis;
- financial innovation;
- Russian Federation
The paper presents some evidence about the rise and fall of financial markets in Russia in the course of 1998, and discusses the causes and likely consequences of the crisis for the Russian economy. It also discusses some important policy issues regarding the effects of global financial integration. The central message is that the Russian financial disaster is a typical example of crisis contagion, although the underlying vulnerability of the economy was a problem which no investor could ignore. In particular, financial stabilization remained extremely fragile owing to the deterioration of the fiscal situation and the vulnerability of the banking system.