10:14 GMT19 September 2020
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    Despite the low ratings bond agencies have given it, Russia is a prime country for investors, a senior specialist at HSBC's investment banking department told a Spanish newspaper.

    Russia and Brazil are the most prospective countries for bondholders, Olga Yangol, a vice president and senior product specialist for emerging markets at HSBC told Spanish daily El Confidencial.

    "Russia has gone to a floating exchange rate and we welcome this because a floating exchange rate compensates the growth and decline of the country's export goods prices," Yangol said.

    According to Yangol, Russia and Brazil have relatively high bond interest rates, which makes them attractive for investment. In addition, Russia's floating exchange rate helped it overcome the decline in oil prices.

    "Because of this, Russia is stronger now than before. Of course, the situation is different now, but from a market point of view and considering that others underestimate Russia's rating, right now it makes sense to invest in this country," she added.

    In Brazil, the interest rate is similarly high, but despite its current political upheaval and rising inflation, there are few risks for investors, Yangol said.


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