Money Market Rates Overview

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The RUONIA rate, to which the coupons of most floating-rate bonds are linked, rose to 16.25% on Wednesday.

The average rate of ruble overnight loans (RUONIA) is the rate applied by banks when providing short-term loans to each other for a period of one day ("overnight").

The rate is calculated daily by refining the average value of interbank lending operations among 35 leading Russian banks and is published on the official website of the Bank of Russia.

The RUSFAR ON RUB (overnight, rubles) rate on Wednesday was 16.35%.

RUSFAR ON CNY (overnight, yuan) was 0.2%.

RUSFAR 1M for 1 month – 16.39%.

RUSFAR 3M for 3 months – 16.41%.

It should be noted that RUSFAR reflects the cost of borrowing funds and the yield of instruments in the Russian money market.

RUSFAR is an average of the rates on repo operations conducted with the participation of a central counterparty.

The Bank of Russia recognizes the RUSFAR rate as meeting the established criteria for financial indicators.

More than 200 participants connected to the central counterparty mechanism for repo operations form the market rate anonymously for standard periods: overnight (ON), week (1W), two weeks (2W), month (1M), three months (3M).

Additionally, around 20 market makers support the quotes.

The money market signals expectations of the key rate at 16-17%. This is evidenced by the rates of the money market: RUONIA and RUSFAR.

The review was presented by Alexey Grishchenko, Doctor of Economics, Professor of the Department of Operational and Sectoral Management at the Faculty of "Higher School of Management" of the Financial University under the Government of the Russian Federation.