"The government and the Central Bank of the Russian Federation have come up with a way to pay off the colossal debts of state-owned companies, including Gazprom, Russian Railways, and others. An option is being considered whereby the debts would be converted into shares in these companies through an additional share issue. But these state-owned companies owe these debts to the country's largest banks, primarily state-owned banks. How will they pay their depositors? The largest banks will have no choice but to pay off depositors' deposits with these shares. Incidentally, state-owned banks will likely pay off their debt obligations in exactly the same way. This is a pure "Cyprus scenario" from 2013, only multiplied by the entire Russian economy.
The state will promise to pay dividends on these shares. However, all of these companies are systemically unprofitable, so this will be a disguised withdrawal of deposits. This could end the period of excess profits from deposits.
The issued shares will also be subject to a moratorium on sale for several years."
