Money Market Rates Overview

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RUONIA, the benchmark rate for coupon payments, stabilized on Thursday at 15.31%.

RUONIA (Russian Overnight Index Average) is an indicative rate for overnight ruble-denominated interbank lending.

This rate is calculated as a weighted average of actual overnight lending transactions between 35 major Russian banks.

The RUSFAR ON RUB (overnight in rubles) rate is 15.16%.

The RUSFAR ON CNY (overnight in yuan) rate is +10.04%.

It is important to note that RUONIA (Ruble Overnight Index Average) is the unsecured overnight lending rate in rubles, calculated by the Bank of Russia based on transactions of the top 35 banks, while RUSFAR (Russian Secured Funding Average Rate) is the secured funding rate (repo with a central counterparty), calculated by the Moscow Exchange for different terms (ON, 1M, 3M, etc.).

RUSFAR serves as a key benchmark:

- Reflects the level of rates in the Russian money market,

- Is based on the average values of repo transactions with the central counterparty,

- Is included in the list of financial indicators approved by the Bank of Russia.

The main difference: RUONIA is an unsecured rate, while RUSFAR is a secured rate, but both are key indicators of the cost of money in the market and are used for floating rates in bonds.

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