Russia fears a big capital flight in the second half of the year after the arrest of the boss of oil giant YUKOS, the central bank's deputy chairman said in a newspaper interview on Saturday.

Russia's politicians on November 7, 2003 formally launched election campaigning for parliament, unsure of how to handle the arrest of an oil tycoon after a broadside by President Vladimir Putin against the super-rich. [Reuters]

Oleg Vyugin told the Financial Times he expected a net private capital flight of more than US$13 billion in the last six months of the year, compared to a net US$4.6 billion inflow in the first half.

"The first and second halves of the year could not have been more different," Vyugin was quoted as saying, adding that he could not definitively link the feared capital flight to the arrest of former YUKOS chief Mikhail Khodorkovsky.

He said net private capital outflow was US$7.7 billion in the third quarter of the year and the bank estimated it would reach US$8.6 billion for the full year.

Khodorkovsky, Russia's richest man, was seized by the security forces on October 25 and is in jail charged with fraud and tax evasion.

The head of Russia's markets watchdog on Friday urged foreign investors to keep faith in the country and President Vladimir Putin embarked on a European tour to calm frayed nerves.

"Our aim is not to go after specific individuals but to establish order in our country," Putin said on Thursday.

"We will do so in a consistent and tough fashion without regard to whatever attempts these people may make to defend themselves or even resort to blackmail."

Credit ratings agency Standard & Poor's this week threatened a sovereign downgrade if the YUKOS crisis leads to capital flight.

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