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Introduction 1 David Lane PART I ISSUES IN BANKING 1 The evolution of post-communist banking 9 David Lane 2 Bank sector restructuring 36 Satoshi Mizobata 3 The present and future of banking reform 56 William Tompson 4 The view from the ground: case studies of three major banks (Sberbank, Uneximbank/Rosbank, Bank of Moscow) 79 David Lane and Irene Lavrentieva PART II GOVERNANCE ISSUES 5 Banks and illegal activities 119 Heiko Pleines 6 Banks and the loans-for-shares auctions 137 Duncan Allan 7 Comparisons with east-central Europe 160 Martin Myant PART III ECONOMIC AND GLOBAL ASPECTS 8 Predicting Russia's currency and financial crises 185 Sheila A. Chapman and Marcella Mulino 9 The political economy of banking reform and foreign debt 216 Claudia M. Buch, Ralph P Heinrich, Lusine Lusinyan and Mechthild Schrooten 10 Russian banks and foreign investments 230 Julia A. Solovieva 11 Progress towards financial stability 243 Brigitte GranvilleLibrary of Congress Subject Headings for this publication: