Page 62 - RusRPTFeb22

8.1.3 Deposits
Significant growth in funds of legal entities continued in December (+1.8 trillion rubles12, or 4.9%, in November +4.3%), while only ruble balances grew (+2.1 trillion rubles), while how foreign currency decreased (-334bn rubles in ruble terms) equivalent, or 2.6%).
The increase in company funds at the end of the year is primarily due to budget execution. Since the beginning of the year, the growth in company funds has reached 18% (15.8% in 2020), which is a record for the last 10 years. This is also due to the good performance of companies, in particular the high foreign exchange earnings due to the increase in prices for export raw materials.
In December, there was a significant increase in household deposits13 (+1,542bn rubles, or 4.6%), while both term deposits (+701bn rubles, or +3.4%) and balances on current deposits grew accounts (+841bn rubles, or +6.7%). The high growth of the indicator in December is traditionally due to the payment of bonuses, as well as the advance of social payments due to long holidays at the beginning of January (for comparison: in December 2020, the growth was +4.9%, and in December 2019, +3.8%). The growth of funds on term deposits is also supported by the ongoing growth of deposit rates: the average maximum rate for rubles increased by 0.5 p.p., to 7.7%14, in the third decade of December compared to the third decade of November. Total since the beginning of the year, the growth in funds of individuals amounted to 5.7%,
62 RUSSIA Country Report February 2022 www.intellinews.com