“One receives a donut, the other - a donut's hole” A two-loop economy will reappear in Russia

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“One receives a donut, the other - a donut's hole” A two-loop economy will reappear in Russia
“One receives a donut, the other - a donut's hole” A two-loop economy will reappear in Russia
27 May, 12:16Photo: Соцсети
One part of the country's financial system will serve the domestic "elite", and the other - the rest of the population.

Curious details of how the country's financial system will work under the sanctions were revealed in her speech at the event of the Association of Banks of Russia Chairman of the Central Bank Elvira Nabiullina. In particular, she said:

We need to define new parameters for the functioning of the Russian financial system… The time for tactical decisions is running out. Now we have to develop strategic ones. (…) The scale of the current crisis cannot but affect the capital base of banks. Banks may need additional capitalization. (…) Apparently, the sanctioned banks will be forced to focus on domestic ruble operations, primarily on lending to the public sector, sanctioned enterprises, SMEs and retail businesses. At the same time, it is very important that, due to the risk of secondary sanctions, the banking system does not split into two isolated segments. To prevent this, it will be necessary to develop special market mechanisms that will redistribute customers, risks and resources between sanctioned and non-sanctioned banks..."

The economist Dmitry Prokofiyev turned his attention to these theses:

“I have said a hundred times that the Russian bosses explain very frankly what kind of life they plan to arrange for us. We just do not all understand what they want to tell us.

Here is the head of the financial regulator: “At the same time, it is very important that, due to the risk of secondary sanctions, the banking system does not split into two isolated segments. To prevent this, it will be necessary to develop special market mechanisms that will redistribute customers, risks and resources between sanctioned and non-sanctioned banks…

Did you understand?

This is just about how the two segments will work. In one segment there will be the owners of the Russian economy, and in the other - workers. Between which there will be a "market mechanism for the distribution of customers, risks and resources." Such that resources are accumulated in the first segment for clients, and risks remain in the other segment (this is normal - one receives a donut, the other - a donut hole, this is how it works).

A two-loop economy is how it works, Robin Brooks (Chief Economist at The Institute of International Finance (IIF)) correctly says - in Russia there are already two banks in fact that act as a "lender of last resort".

This is Gazprombank, where all the money from exports is collected, and which can pour this money into any problem of the country's owners, and the Central Bank of the Russian Federation, which, apparently, will be engaged in the "distribution of risks" between "sanctioned and non-sanctioned banks."

There is no big news here - two hundred years ago this was the case in Russia - the Noble Bank served the interests of landowners (by a strange coincidence, grain exporters), and for everyone who plowed, there were savings banks, usurious offices and old ladies - interest-bearers.

In South Africa, which had been under sanctions for a long time, there was something similar - in the "white cities", which, by the way, lived from the export of metal ore, there were banks, and in the "black bantustan regions" - everything was a little different.

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