Page 82 - RusRPTAug21

At the same time, there was a decrease in debt on foreign currency loans (RUB418bn, or 3.5%, mainly due to the closure of several large transactions), while grew (RUB594bn, or 1.6%, large borrowers from various industries were credited - oil and gas, transport, energy, retail, metallurgy). A significant factor lending to housing developers (over RUB120bn) also continues to grow.
Mortgage lending is expected to accelerate - according to preliminary data, to 3.0% in June from 2.1% in May due to record lending under the concessional mortgage program at 6.5% (RUB184bn against RUB104bn in May), including due to the announcement of the change its terms4 from 1 July 2021. With this in mind, some slowdown is expected in the future.
Mortgage lending - for example, for the first two weeks of July within the framework of a preferential mortgage there were twice less loans issued than in the same period in June. However, the overall decline is likely to be less significant, as the decline in demand for new the program, which replaced the preferential mortgage at 6.5%, will be partially offset by the growth demand for market mortgages and other preferential programs.
For the fourth month in a row, the growth rate of unsecured consumer goods remains high - lending (2.0% in June). Increase from 1 July 2021 macroprudential markups to risk ratios to “dock” levels, it is intended to somewhat cool down the growth rate in this segment.
As the number of loans issued in the last two years has more than doubled, and the quality of loans has gone down, banks are getting quicker to sell Russians’ debts to collection agencies. The number of delinquent loans was up 25.4% in 2020 and another 5% this year to date, according to one industry estimate. The loans in question were primarily issued under pandemic conditions. Debts sold less than one year after issuance now comprise 17% of all debts sold, up from 6% in 2020. Debts sold between one and two years after issuance are up to 39% from 24% last year. At the beginning of the month, the Russian Central Bank cancelled measures that had allowed banks not to have loan loss reserve funds for certain types of retail loans. In the last two months, banks issued 1.3 trillion rubles ($17.5 billion) in retail loans.
82 RUSSIA Country Report August 2021 www.intellinews.com