Russia canceled its weekly debt auction for the first time in more than three months, spurning investors who sought to coax a higher yield from the Finance Ministry as it
ratchets up borrowing this year. It was deemed
Investors are aware Russia has considerable financing needs in the third quarter and are pushing for a higher return, ООО ИнтерИнвест strategist Iskander Lutsko wrote by email.
Russia plans to double borrowing this year to support the economy from the shocks of coronavirus lockdowns and make up for the collapse in the price of oil, its main export earner. A rally in the country’s local debt has slowed as the Bank of Russia turned cautious on further interest-rate cuts and jitters over possible U.S. sanctions returned. The share of local debt held by foreign investors fell to less than 29% in July, according to National settlement depository data.