Russian retailers may be best positioned to crack open international credit markets as they’re far removed from people blacklisted by the U.S. and Europe over Ukraine, said Clemens Grafe, chief economist at Goldman Sachs Group Inc. in Russia.
Russia’s credit risk is lower than markets are pricing in because the world’s biggest energy exporter has strong earnings from oil sales and a low debt burden in its favor, according to Goldman Sachs Group Inc.
Russian stocks traded in New York fell the most in two weeks as President Barack Obama imposed financial sanctions on a wider swath of Russian officials, including billionaires close to President Vladimir Putin.
Russia’s plans to spend $15 billion of its oil wealth buying Ukrainian bonds is a risky bet that is “becoming a concern of investors,” according to Clemens Grafe, Goldman Sachs Group Inc.’s chief economist in Russia.
Russia’s incursion into Crimea has made Goldman Sachs Group Inc.’s job of improving the country’s image with overseas investors tricky. The bank’s own analysts reduced their growth forecast for Russia yesterday, saying the crisis will prompt companies to delay investment.