World Bank issues Russian inflation warning

The World Bank has warned that a massive influx of capital into Russia in the wake of major bank loans and share offerings by Russian companies could result in a loss of control over inflation.

The surge of capital was contributed to by the state-controlled oil group, JSC Rosneft, which borrowed about $22bn to purchase oil fields and refineries made available by the liquidation of the Yukos oil company. In addition, the state-controlled JSC Bank VTB raised $8bn in an initial public offering (I