In Mother Russia, bailout eats you
Looking at Russia, to get a bailout from the $560 billion in gov reserves accumulated over the last 10 years (ever since the oligarchs had to bail out the govt. when it defaulted on $30 billion in debt.. oil has done a lot for the country...) you basically have to hand the keys of the company over to Putin. The general terms that companies are getting are that to take govt. money the govt. will then have total future control over all funding decisions for the company, deciding when and how you will be able to raise capital. Controlling the purse strings in this manner will obviously give Putin huge control over many firms which he has not yet reigned in.
Scary.
All we can hope for is that oil prices stabilize somewhere near a new norm of $30-60 per-barrel, and Russia/Iran/Venezuela etc. no longer see the major windfalls they have been thriving on. But private enterprise and true capitalism in Russia? That is dead.
In Mother Russia, bailout eats you.
Scary.
All we can hope for is that oil prices stabilize somewhere near a new norm of $30-60 per-barrel, and Russia/Iran/Venezuela etc. no longer see the major windfalls they have been thriving on. But private enterprise and true capitalism in Russia? That is dead.
In Mother Russia, bailout eats you.
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