Russia: limited market fallout from Otkritie turmoil

The uncertainty about how troubles at Otkritie might play out initially pushed up interbank interest rates in Russia, but the Central Bank (CBR) quickly snuffed out the rise using its open market operations. The big picture is that the problems facing one of Russia’s ten largest banks created next to no disruption in financial markets, which is another sign of how the conduct of monetary policy by the CBR has improved in recent years.