Page 34 - RusRPTDec20

● Credit has become more available thanks to falling interest rates over the past several years and rate cuts to below the neutral levels. That has kept corporate (8.7% in 10M20) and retail lending (12%), as well as mortgage lending (14%), at high levels.
● The relaxation of regulatory requirements, which facilitated restructurings, has supported the rise in credit. The restructuring affected RUB820bn in retail loans, RUB819bn in SME loans and RUB5trillion in large corporate loans. CBR believes banks can cope with the pressure on capital after the program ends.
● Importantly, CBR insists on not extending the mortgage subsidy program beyond its current end date given rapidly rising housing
prices on the primary market, which are exceeding inflation and
income growth rates.
● Nabiullina also touched on payment systems, digital currencies,
eco-system regulation and retail investments.
34 ​RUSSIA Country Report​ December 2020 www.intellinews.com