Low interest rates on credit cards during promotional periods cannot be used as a basis for calculating the total cost of credit (TCC), according to a recent directive from the regulator. The relevant information letter has been sent to credit institutions.
The microloan portfolio expanded by 13% from the beginning of 2024, amounting to ₽62.6 billion. Demand for microloans remained stable: in the first half of 2024, pawnshops concluded slightly more than 4 million contracts on average per quarter. The average microloan amount increased by 8% compared with the previous period and exceeded ₽17,000. Such dynamics were associated with a rise in the value of collateral, which was mainly represented by gold items.
The Bank of Russia has submitted its updated draft Monetary Policy Guidelines for 2025–2027 to the State Duma. This strategic document outlines the central bank's approaches to implementing monetary policy in the current economic environment. It also presents a baseline and three alternative macroeconomic scenarios for the next three years.
The XXI International Banking Forum recently featured a speech by Elvira Nabiullina, where she addressed several pressing issues in the banking sector. She began by discussing the overall situation in the industry, highlighting its contribution to economic development and investment processes in Russia. Despite challenges, she noted that "the banking sector itself also feels confident owing to a large capital cushion and profits."
The publication covers the main aspects of the discussion about the economic situation and inflation, monetary and external conditions, and alternatives to the key rate decision.
In September 2024, one-year-ahead inflation expectations of households edged down to 12.5% from 12.9% a month earlier, as shown by the InFOM’s survey. Expectations decreased among respondents both with and without savings. All these measures markedly exceeded the 2024 H1 averages.
The September 2024 results of the monitoring of maximum interest rates on deposits in Russian rubles for the top ten credit institutions attracting the largest amount of household deposits are as follows:
At its meeting on 23 September 2024, the National Financial Board (NFB) reviewed drafts of the Monetary Policy Guidelines and the Russian Financial Market Development Programme for 2025–2027.
On September 23, 2024, the Bank of Russia issued commemorative coins for the Russian (Soviet) Animation series titled "Hedgehog in the Fog." The release includes a 3-ruble silver coin (Catalogue No. 5111-0510), a 25-ruble nickel-plated steel coin (Catalogue No. 5715-0003), and a 25-ruble cupronickel coin with colored coating (Catalogue No. 5015-0072).
The growth rate of corporate lending remained high in August, showing a 1.9% increase compared to 2.3% in July. Companies from various sectors raised borrowings, primarily through working capital loans.
The Bank of Russia has extended restrictions on money transfers abroad for another six months. These measures will be effective from October 1, 2024, through March 31, 2025.
The Banking Standards Committee has adopted the Standard for Protecting the Rights and Legitimate Interests of Mortgage Borrowers, approved by the Bank of Russia. The new standard aims to minimize high-risk mortgage lending schemes and ensure banks provide borrowers with detailed information about lending terms and associated risks.
The Bank of Russia has announced an extension of restrictions on money transfers abroad for non-residents from states it considers unfriendly. These measures, which apply to both individual and legal entity accounts managed by Russian brokers and trust managers, will be in place for another six months starting October 1, 2024.
Remote lending channels are expanding primarily due to the technological capabilities of large companies. Over the quarter, the proportion of online loans issued by microfinance organizations (MFOs) grew from 81% to 84%, and in the segment of payday loans, they accounted for 96%.
Banks will not be allowed to charge citizens for money transfers in favor of the government (C2G-payments) made via the Faster Payments System (SBP). This includes payments for kindergartens, extracurricular clubs and activities, as well as taxes and fines.
Over the year since July 2023, the number of regions with increased risks of fraud in the compulsory motor third-party liability insurance (CMTPLI) sector has dropped from ten to four. These data are given in the latest issue of the Monitoring of Regional Risks of Misconduct in CMTPLI.
On October 1, 2024, the Bank of Russia will launch a service that allows users to request and obtain reference information on whether the Know Your Customer (KYC) Platform classifies an individual entrepreneur or a legal entity as a party with a high risk of involvement in suspicious transactions.