http://en.rian.ru/business/20081011/117681564.html
London feels Russian oligarchs' losses
14:48 | 11/ 10/ 2008
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LONDON, October 11 (RIA Novosti) - London may get a sharp taste of
Russia's financial crisis as the country's billionaires see their paper
wealth tumble along with Russian stock markets, The Times newspaper
reported Saturday.
London has become a second home for many Russian oligarchs, who own
multimillion-dollar homes in the city and surrounding counties, but the
paper says new purchases are unlikely for the immediate future.
"Analysts familiar with Russia's leading businessmen believe that they
will hold on to these as a way of keeping wealth outside of the
Kremlin's control," the paper wrote. "However, estate agents in Chelsea
and Kensington are unlikely to see many Russian buyers in the coming
months."
The Bloomberg news agency estimated Friday that Russian billionaires
lost more than $230 billion in the last five months.
The agency arrived at the figure by looking at stock-market falls for
the known assets of the 25 richest Russians, as listed by Forbes magazine.
Oleg Deripaska, the richest Russian on the list, lost more than $16
billion according to Bloomberg, as his Basic Element holding company
gave up stakes in Hochtief AG and Magna International Inc. Chelsea owner
and former Chukotka governor Roman Abramovich "lost $20 billion, based
on assets excluding property and cash," the agency said.
Russia's stock markets have been hit particularly hard by the financial
crisis, with tens of billions of dollars being taken out of the country
since the summer. The MICEX index has shed more than 60% of its value
since peaking in May.
Russia's two stock exchanges, the MICEX and the RTS, did not open for
full trading Friday on instructions from federal regulators following
considerable falls at previous sessions.
President Dmitry Medvedev said Friday that Russia had taken sufficient
steps to shore up the domestic financial market, describing the measures
as "rather serious."
The lower house of parliament, the State Duma, approved Friday
anti-crisis packages worth a total of $86 billion. The government has
earmarked $50 billion of budget funds to banks and firms to refinance
foreign debt, and some $36 billion to key banks in subordinated loans.
