Lending is grew slightly in Russia

In February, lending grew slightly, as noted in a press release from the Central Bank press service. Thus, the volume of loans to large businesses grew by 0.1% after a 1.2% decrease in January. The dynamics of lending were still held back by large budget expenditures: companies that received compensation under government contracts needed loans less, experts from the Central Bank explained.

Mortgages recovered by 0.2% after a decrease in January by the same amount (-0.2%).

The consumer loan portfolio continued to decrease: -0.3% in January and -0.9% in February. High rates and strict issuance conditions are having an effect.

Citizens' funds in accounts grew by 1.9% after a 0.8% decrease in January: the same effect of high rates manifests differently here.

Company funds remained almost unchanged (+0.1%) after a moderate inflow of 0.5% in January.

Banking sector profits fell by a quarter: RUB 286 billion in January and RUB 214 billion in February — due to increased operating expenses and negative currency revaluation.

Author: Elina Akhmetova