Page 86 - RusRPTFeb24

8.1.2 Loans
The corporate lending growth rate was +1.8% in December, down from +2.0% in November, but still relatively high for December. One of the reasons for this is the need for companies to secure funds for their ongoing operations, as budget payments at the end of the year were not disbursed to all government contract performers, remaining in the Federal Treasury.
Overall, corporate loans grew by 20.1% in 2023, significantly exceeding the 2022 result of 14.3%. This active growth can be attributed to several factors: Financing of current operations and implementation of new investment projects as part of economic transformation.
Financing of transactions involving non-residents exiting Russian assets (approximately 0.5 trillion rubles) and continued external debt substitution (around 2.5 trillion rubles, primarily in 1Q23).
Project financing for housing construction, with an annual growth of +1.4 trillion rubles.
In 2023, foreign currency loans decreased by a moderate 3.1bn US dollars (compared to a reduction of 30.2bn US dollars in 2022). However, there was a trend towards an increase in foreign currency lending in 4Q23 (+401bn rubles in ruble equivalent). These loans were primarily issued in currencies of friendly countries.
86 RUSSIA Country Report February 2024 www.intellinews.com