Mandatory deposit insurance fund
Formation of the deposit insurance fund
According to the Law on deposit insurance, the mandatory deposit insurance fund (hereinafter referred to as the fund) is the financial basis of the deposit insurance system.
In the year of the report, the fund grew by 19.5 billion rubles. During the year the growth was accounted for by insurance premiums from banks (17.3 billion rubles) and by an increased property contribution of the Russian Federation (0.5 billion rubles). After the year-end profit (of 1.7 billion rubles)1 from investing resources of the fund was added.
As of January 1, 2007, the fund’s resources totaled 36.1 billion rubles with insurance premiums from banks rising to 27.1 billion rubles (75.1%), the property contribution of the Russian Federation – 6.6 billion rubles (18.3%), and reinvested profit – 2.4 billion rubles (6.6%) (table 3).
Table 3. Mandatory deposit insurance fund structure as for 01.01.2007 (by financial sources)
As a result of the fund’s growth, the ratio of its size to the amount of insurance liability of the Agency to all DIS member-banks grew from 1.11% at the beginning of the year of the report to 1.58% as of January 1, 2007, and excepting the Sberbank of Russia – from 3.72% to 4.78% correspondingly.
In 2006 DIS member-banks remitted insurance premiums for the following periods: fourth quarter 2005, as well as the first, second and third quarters of 2006.
The Agency constantly monitored payment of insurance premiums to the fund. Most banks paid insurance premiums in full. However, some banks briefly delayed the payment of insurance premiums for 1-6 days. The bulk of delayed payments (up to 20% of payers) was reported in the beginning of the year when banks lacked time to consolidate the necessary account balance data because of many days-off in early January.
In the period of the report 265 claims were filed to banks regarding repayment of overdue debts to a total 2,788 thousand rubles (including premium of 2,698 thousand rubles and fines of 90 thousand rubles). At the end of the period of the report outstanding insurance premium debts comprised 203 thousand rubles and concerned mostly banks facing an insured event.
In the period of report monetary resources of the fund in the volume of 34.4 million rubles were reserved to guarantee reimbursement and for paying for the services of agent banks through which the payments were remitted.
DIA General Director Alexander Turbanov and “Lawyer” Publishing Group General Director Vladislav Grib signed an agreement on DIA becoming a constinent of “Banking Law” journal
1Aggregated profit of the Agency in 2006 to falled to 2.1 billion rubles, including 0.4 billion rubles included in to the structure of the formation of the Fund amounting to the initial contribution of the State.