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Central Bank says Russia’s primary housing market overheated

"We assume that we will be able to apply macroprudential limits on mortgage starting the middle of the year," Elvira Nabiullina noted

MOSCOW, March 1. /TASS/. Russia’s Central Bank believes that the country’s market of primary housing is overheated, the regulator’s Governor Elvira Nabiullina said.

"We believe that the market of primary housing is overheated, with mortgage growth rates averaging 3.2% each month in the second half of last year. Mainly due to the fact that people sought to take subsidized loans before the terms of state programs were tightened high inflation expectations played a role as well, and the portfolio grew by almost 35% during the year," she said.

"We assume that we will be able to apply macroprudential limits on mortgage starting the middle of the year," Nabiullina noted, adding that "they accounted well for themselves in unsecured consumer lending."

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