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YAKUTSK, November 15 (Itar-Tass) — Russian President Dmitry Medvedev has expressed confidence that Russia’s mortgage loan rates should be reduced.
“This year’s inflation will make up 7 percent, while the current mortgage loan rate totals some 12 percent, although in Europe they are much lower,” he told a meeting of the Public Committee of Supporters on Tuesday.
An official of the VTB Bank explained that the mortgage loan rates are formed on the basis of the inflation rate, spreads and default risks.
“I believe that the VTB as the country’s leading bank should show an example and cut mortgage loan rates,” Medvedev said.