FBK – Today the Speculative Level of Russian Economy Is Higher Than Before the Crisis
As per results of the first quarter of 2011, the volume of financial investments has 12.1 times exceeded that of investments in non-financial assets. “Financial investments – that is share purchases, bank deposits etc., – generally speaking, are investments of speculative nature while investments in non-financial assets in their largest part are investments in fixed capital, that means – in development”, – explained Igor Nikolaev, Director of FBK Strategic Analysis Department.
According to his words, in 2007, before the crisis, financial investments 3.6 times exceeded the volume of investments in non-financial assets. As per 2008 results, this ratio was already equal to 4.2. “In 2009 – 2010 this index continued to grow which is quite natural because the fight against the crisis was conducted by means of “filling” economy with money (e.g. as per results of the 1st quarter of 2010, this ratio was equal to 8.6). And now, for a year, this ratio has changed for the worse even more”, – I. Nikolaev stated.
That being said, the expert reminded that there can be seen strict dependence between investments in fixed capital and GDP growth.