In the first quarter of 2025, microfinance organizations (MFOs) issued microloans amounting to ₽497 billion, marking a 1% decline compared to the previous quarter. Several factors contributed to this slowdown in the retail segment. Notably, there was an increase in microloan maturities and certain categories of microloans became more expensive due to the suspension of the effective interest rate limit. Additionally, there was a high-base effect from the fourth quarter of 2024. The corporate segment experienced a seasonal drop in demand.
The consumer microloan market is undergoing transformation influenced by macroprudential limits (MPLs) and impending restrictions on the number of simultaneously existing microloans. Companies are aiming to attract higher-quality borrowers and offer financial solutions to retain repeat clients for longer periods.
In 2025 Q1, nearly half of the granted microloans had maturities exceeding one year. More than a quarter were issued under agreements with credit limits similar to bank credit cards. The average consumer microloan amount increased over the year, reaching ₽21,000.
Clients continued showing demand for online microloans through marketplaces and point-of-sale (POS) financing, attributed to lower interest rates and grace periods without accruing interest. These financial products accounted for over 60% of new borrower loans.
The share of car microloans expanded sixfold to 9%, often issued to borrowers with high debt service-to-income ratios. To mitigate risks, the Bank of Russia plans to introduce MPLs in this segment by the third quarter of 2025.
Microloans overdue for more than 90 days decreased in MFOs’ overall portfolio, reaching 27.5%. Key risks remain concentrated in the retail segment; however, consumer portfolio quality is gradually improving due mainly to new borrowers and some MFOs selling overdue loans at early stages.
Further details can be found in "MFO Market Trends in 2025 Q1."