The Central Bank of Russia published its Russian Banking Sector Development update for March 2025, showing a return to moderate growth in the corporate loan portfolio alongside a rise in sector profitability. Mortgage lending continued to edge up, while the consumer loan portfolio remained in contraction. Corporate lending increased by 0.9% in March, up from 0.1% in February, with borrowing linked in part to tax payments. Outstanding household mortgage loans grew by 0.2% (0.1% in February), while new mortgage lending rose by 13%, mainly driven by loans issued under government subsidised programmes; the consumer loan portfolio declined by 0.3% (after -0.9% in February). On the funding side, corporate deposits with banks fell by 2.8% after a 0.1% increase in February, with the main outflow concentrated in the last ten days of March due to tax payments, while household deposit inflows slowed to 0.8%.
Central Bank of Russia 2025-04-18
Central Bank of Russia reports corporate lending accelerates to 0.9% and banking sector profit rises to RUB 244 billion in March
The Central Bank of Russia's March 2025 update indicates moderate growth in the corporate loan portfolio and increased sector profitability. Corporate lending rose by 0.9%, driven partly by tax-related borrowing, while mortgage lending increased by 0.2% and new mortgage loans surged by 13% under government programs. However, corporate deposits fell by 2.8% due to tax payments, and household deposit inflows slowed to 0.8%.