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Bank of Russia notes normalization in structure of household savings with banks

Growth in corporate lending accelerated, the regulator remarks

MOSCOW, September 16. /TASS/. Russia’s Central Bank notes an overall continued inflow of household funds to credit institutions despite the recent reduction in deposit rates, the regulator said in a press release following its board meeting on the key rate on Friday.

"Despite the recent reduction in deposit rates, the inflow of household funds to credit institutions was overall continued. Household funds were placed into long-term ruble deposits and current accounts, and withdrawn from short-term ruble deposits. This reflects a normalization in the structure of household savings with banks," the press release said.

Meanwhile, growth in corporate lending has accelerated, the regulator noted, adding that a recovery was seen in unsecured consumer lending, alongside with significant growth in mortgage loans. "Credit activity was supported by both government subsidized lending programs and the key rate reduction that occurred in between April and July," the Bank of Russia concluded.

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Central Bank of Russia

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