Page 71 - RusRPTAug23

8.1.2 Loans
Corporate lending in Russia showed a growth of 1.3% in the latest reporting period, amounting to 803bn rubles, which is an increase of 0.8% compared to the previous month. This growth rate surpasses the average monthly pace seen in 2021, which stood at 0.9%.
The increase in corporate loans was primarily driven by lending in Russian rubles, with loans in this currency growing by 960bn rubles, a rise of 1.8%. Industries that received the majority of these loans include mining and metallurgy, chemical, transportation, telecommunications, financial, commercial real estate, and housing construction sectors.
Within the housing construction sector, loans issued for project financing experienced a growth of around 120bn rubles. Although this is slightly lower than the increase observed in May, which was approximately 150bn rubles, it still demonstrates positive growth in the industry.
Another contributing factor to the growth of ruble-denominated loans was the ongoing conversion of loans from currencies of unfriendly countries into rubles. This conversion, estimated to be around 1bn US dollars, led to a moderate contraction in the foreign currency portfolio, which decreased by 157bn rubles in ruble equivalent, representing a decline of 1.5%.
Despite the growth in lending, the indicators of the credit quality of corporate loans have remained at a satisfactory level, indicating a positive overall performance. For a more detailed analysis of the credit quality, please refer to page 5 of the report.
71 RUSSIA Country Report August 2023 www.intellinews.com