Russian exporters and importers will be allowed to use cryptocurrencies in cross-border settlements under foreign trade agreements, but only within the experimental legal regime (ELR). The relevant draft law was adopted by the State Duma in the second and third readings.
Elvira Nabiullina, Governor of the Central Bank of Russia, addressed the Federation Council’s Financial Market Development Board on July 30, 2024. In her remarks, she highlighted key issues related to monetary policy and financial market development.
Engineers and humanitarians can be successful in asset management provided they have experience in securities transactions. Investors with degrees in economics and work experience at financial institutions earn the highest returns.
Foreign banks will be allowed to set up their branches in the Russian Federation, a shift from the current regulation which permits only subsidiary banks or representative offices. The draft law outlining the procedure for establishing branches was adopted by the State Duma in its second reading on July 30.
In July 2024, estimated inflation expected by households in one year rose to 12.4% from 11.9% a month earlier, according to InFOM’s survey. This increase was attributed to respondents without savings, while expectations of those with savings remained almost unchanged.
The Bank of Russia has outlined the procedure for payments on the Eurobonds of JSC Development Bank of the Republic of Belarus (ISIN XS1904731129 or US25161EAA91) to Russian investors. The issuer may fulfill its obligations in Belarusian rubles or buy back the Eurobonds, with payments bypassing foreign institutions.
The July 2024 results of the monitoring of the maximum interest rates on deposits in Russian rubles of the top ten credit institutions attracting the largest amount of household deposits are as follows:
On July 26, 2024, Bank of Russia Governor Elvira Nabiullina announced a decision to raise the key rate to 18% per annum. This decision was influenced by several factors that have materialized, including rising underlying inflation, persistent consumer activity, an unchanged positive output gap in the economy with growing labor market tightness, and new proinflationary risks associated with sanctions.
On July 26, 2024, the Bank of Russia's Board of Directors decided to increase the key rate by 200 basis points to 18.00% per annum. Inflation has accelerated and is developing significantly above the Bank of Russia’s April forecast. Growth in domestic demand continues to outstrip the capabilities to expand the supply of goods and services. To reduce inflation, monetary policy needs further tightening. Returning inflation to the target requires considerably tighter monetary conditions than previously anticipated. The Bank of Russia will consider the necessity of further key...
The law obliging banks to suspend money transfers for two days if information about payees is on the Bank of Russia’s database of actual and attempted fraudulent transactions will become effective on 25 July 2024. If a credit institution fails to do so, it will have to reimburse the client for the funds transferred within 30 calendar days.
The Bank of Russia organized a seminar for the BRICS central banks on financial literacy and financial inclusion as part of the third meeting of the BRICS deputy finance ministers and central bank governors in Rio de Janeiro, Brazil.
The third regular meeting of the BRICS deputy finance ministers and central bank governors took place in Rio de Janeiro, Brazil, on July 23. The primary focus of the joint session was a report from the BRICS countries on improving the global monetary and financial system. The report offers practical solutions for payments, settlements, clearing, and insurance.
The Bank of Russia has established new rates for compulsory insurance of carriers' third-party liability for damage to passengers (CICL). Effective August 3, the lower bound of the range of insurance rates for intercity bus, tourist water, helicopter, railway, and sea transportation will decrease by 20%.
Bank of Russia Governor Elvira Nabiullina and Bank of Russia Deputy Governor Alexey Zabotkin will participate in a press conference on July 26 at 15:00, following the Board of Directors' monetary policy meeting.
The Bank of Russia has set new rates for the compulsory insurance of hazardous facility owners' third-party liability. The relevant Bank of Russia Ordinance was officially registered by the Ministry of Justice and will become effective on July 30, 2024. The recalculation aims to more accurately reflect emergency risk levels and consider loss ratio dynamics.
The Bank of Russia and VEB.RF have signed a contract for purchasing the SLAVA business centre, which is currently under construction near the Belorusskaya metro station in Moscow. Upon the transfer of the title to the real estate and the completion of repairs, the regulator will allocate the majority of its current buildings to the Federal Agency for State Property Management.
The mortgage portfolio expanded by 3.1% over the month, compared to 1.7% in May, according to preliminary data. The acceleration was associated with borrowers’ desire to raise a mortgage loan before the termination of the Subsidised Mortgage programme and changes in the Family Mortgage programme. Mortgages issued under the subsidised programmes accounted for 80%.
Annual inflation in most regions of Russia accelerated in June, increasing by 0.29 percentage points on average compared to May, reaching 8.59%. Price growth sped up in 62 Russian regions.