Russia wakes up to ABS

After years of being the 'next big thing', the Russian asset-backed securitisation market has finally arrived. Laurence Neville looks at the factors that have caused this sleeping giant to awaken

Asset-backed securities are riding high in Russia. Issuance in the region grew from next to nothing in 2005 to EUR3 billion in 2006. While still a minnow in global terms, the scale of Russia's economy and its population - more than 140 million - mean that its potential marks Russia's ABS market as one of the most exciting in the world.

So what changed to bring the market to life? "Securitisation hasn't got easier in the past year in Russia, it's simply that the economic drivers for securitisation