Russia’s burgeoning securitisation market was recently given a boost when HCFB, one of the country’s largest consumer lending banks, completed the first-ever securitisation of Russian rouble assets from its consumer loan portfolio. The €291m (£199m) deal, arranged by HVB, could open the door to similar transactions in the future.
In common with some other emerging markets, Russia presents a number of challenges for securitisations. There are no specific securitisation laws in place, or provisions in other laws regulating securitisation, although the creation of a securitisation law is on the Russian Government’s agenda. Securitisation structures are new in Russia and have not yet been tested in the national courts. This means that it is more difficult to be certain that a structure will be effective and able to withstand judicial scrutiny than it would be in jurisdictions where such transactions are more commonplace.
