Seeing that national bonds are maturing again, the federal government needs to repay US$24 billion in domestic and foreign debt before the end of the year, while the country's foreign exchange reserves are only US$17 billion. The federal government has lost the ability to repay the national debt, and it is even more difficult to intervene in the foreign exchange market.
Under the emergency situation of the federal government's internal and external difficulties, on August 17, Kiriyenko and Dubinin launched three tough emergency measures: First, expand the floating range of the ruble exchange rate and lower the upper limit of the ruble exchange rate to 9.5:1 (equivalent to Yu devalued the ruble against the U.S. dollar from 6.295 to 9.5, a depreciation of more than 50%), causing the ruble exchange rate to plummet and continue to decline, destroying the ruble exchange rate that had been stable for more than three years. The second is to postpone the repayment of maturing foreign debt (US$15 billion) for 90 days; convert the domestic debt repayment period, converting US$20 billion worth of treasury bonds that mature before December 31, 1999 into medium-term treasury bonds with maturities of 3, 4, and 5 years. . Third, trading in the treasury bond market was suspended before the conversion was completed.
Once the three tough measures were announced, they immediately caused an uproar in public opinion, which was equivalent to announcing that the Russian government had lost the ability to repay its national debt, which meant that the Russian government had actually become "bankrupt."
The joint statement by the Russian government and central bank instantly turned the entire Russian financial market into a cold hell on earth.
The entire Russian financial market is based on the short-term treasury bond trading market. The collapse of the short-term treasury bond trading market immediately triggered a chain collapse of various markets that make up the Russian financial system (including the treasury bond market, the stock market, and the foreign exchange market).
In the stock market, the Russian Trading System RtS Index plummeted from 150 points to below 40 points; in the foreign exchange market, the Russian Central Bank, which had exhausted its foreign exchange reserves and was still unable to suppress the decline of the ruble exchange rate, was forced to announce that it would give up intervention in the ruble exchange rate. . Just a week later, the ruble's exchange rate against the U.S. dollar plummeted to 30 rubles to the U.S. dollar on the black market.
This joint statement is also a devastating disaster for Russian commercial banks that hold large amounts of Russian government bonds.
More than half of the bank's assets were wiped out in an instant, and most of the remaining banks were forced to start consolidation.
The collapse of the banking system caused the supply of funds for Russian companies to use for investment and production turnover to dry up, followed by the collapse of a large number of companies.
The "national credit" of the Russian government no longer exists, and its credit rating has entered the ranks of "junk". It has also led to the collapse of countless banks and companies. Financial oligarchs and plutocrats have gone bankrupt. Almost every Russian family has lost money. Deposits have shrunk by two-thirds.
Selling 75% of Rosneft's shares in exchange for financial emergency funds has become a top priority, but international investors are frightened and domestic plutocrats are too busy to take care of themselves.
Wang Dongming came to invest on behalf of China's richest man, which was like providing timely help. Kiriyenko, who knew that he would be ousted at any time, postponed an important meeting and personally introduced the situation of Rosneft, hoping that China's richest man would acquire it and the federal government would get more than 440 million US dollars. This is equivalent to nearly 9 billion rubles, which can be dealt with for a period of time.
"Mr. Prime Minister, our President Sun said that the people of the former Soviet Union and today's Russia are good friends of the Chinese people, and he is willing to make his own contribution to Russia's economic development."
Wang Dongming did not tell lies. People of his and Sun Jian's generation have deep feelings for the former Soviet Union and sympathize with Russia's current situation from the bottom of their hearts.
Conversation in Russian is what he learned in middle school. He has studied abroad for many years. Due to the needs of work, Wang Dongming also learned Japanese, German and Spanish.
President Yeli Q has visited China three times, and has taken the initiative to sign a border disarmament agreement with China; returned 23.7 square kilometers of Chinese territory; sold the country's most advanced fighter Su-27 to the Chinese Air Force, authorized China to imitate it, and even promised that if the latest The new Su-30 fighter jet has been successfully researched and will be sold to China as soon as possible. It has also sold 4 modern-class guided missile destroyers to the Chinese Navy. Related supporting air defense missiles are also sold together, and a large number of technical experts and related technical personnel have also been dispatched. Officers and soldiers went to provide guidance and even shared some advanced naval and air force tactics with China unconditionally.
Ye Liq is officially called a good friend of the Chinese people!
"Thank you Mr. Sun and Mr. Wang! These are some conditions for our plan to sell 75% of Rosneft's shares. Please take a look at it, Mr. Wang!"
Kirilenko could feel the emotion in Wang Dongming's words. He was obviously different from the superior investors in European and American countries. Investment was like charity. They came to Russia to dig for gold and ran away after making money.
"Mr. Prime Minister, the Russian government recently issued a policy that 'general foreign investors shall not hold more than 25% of the shares in Russian companies'. Can htIc acquire 75% of the shares of Rosneft?"
Rosneft oil was founded in 1993 and restructured into a state-controlled joint-stock company in 1995. It is composed of 30 large enterprises and has not yet been listed. It has 11,500 employees and total assets of US$495 million.
The total assets of Rosneft rank fifth after Gazpromneft, Lukoil, Surgutneftneft, and Yukosneft, followed by Siberianeft, Tyumenneft, and Siberia. Oil companies such as Danli Oil Company, Tatarstan Oil Company, and Balkir Oil Company.
Wang Dongming learned through his connections that due to the impact of the Russian financial crisis and the plummeting international oil prices, which fell below the extraction cost, Rosneft's financial situation seriously deteriorated and fell into losses. Half of the oil wells were in a semi-stop state, and nearly 1/3 of the oil wells were in a semi-stop state. With workers losing their jobs and the company losing control over the assets of its subsidiaries, Rosneft is faced with a painful choice of whether to continue to exist?
International oil prices have fallen below the extraction cost price of most oil companies, and are still falling. Foreign oil giants cannot believe the Russian government. Domestic plutocrats have suffered heavy losses and have no time to take care of themselves.
Wang Dongming, who had no experience in the production and operation of oil companies, immediately felt that Rosneft was a hot yam?
Wang Dongming wonders whether he will continue to invest in purchasing 75% of Rosneft's shares after telling Sun Jian?
"Mr. Wang, the richest Chinese man is not an ordinary foreign investor. htIc only needs to obtain approval from the Russian Government's Foreign Investment Supervision Committee."
Kiriyenko knew that in the battle to defend Hong Kong's finance, the powerful htIc made great contributions, for which Sun Jian, the richest man in China, received a Grand Bauhinia Medal.
At the flood fighting and rescue summary and commendation meeting held on September 29, representative Sun Jian made a speech. His companies donated a total of 324 million yuan, accounting for one-fifth of the total donations, and were highly praised by government officials.
