Analysis of Methodology for Calculating Net Private Sector Capital Inflow/Outflow in the System of Empirical Estimates of Capital Flight

Abstract

The paper discusses the various methodologies used in foreign literature for measuring capital flight. It analyses these measurements and compare them with methodology used by Bank of Russia for calculating net inflows/outflows of capital by private sector. It explores possible application of these measurements for estimating the scale of capital flight from Russia and correlation of such estimates based on balance of payments data over 2005-2015 with the indicator of the Bank of Russia.