Creditors have been encouraged to adjust loans for businesses impacted by recent flooding, according to a directive from the Bank of Russia. The guidance was issued to banks, microfinance organizations, consumer credit cooperatives, agricultural consumer credit cooperatives, and credit history bureaus.
The Bank of Russia's letter suggests that loan restructuring could provide significant support to businesses in regions affected by the spring floods of 2024. Creditors are advised to consider requests from entrepreneurs seeking changes in their loan agreements. It is recommended that creditors allow for the suspension of obligations for a mutually agreed period and then issue a new repayment schedule without imposing fines or penalties.
Additionally, the Bank of Russia advises that these restructuring actions should not impact the calculation of a borrower's individual credit rating.